TNB Aura’s special fund to invest US$2M each in COVID-19-affected startups in SEA
Singapore-headquartered VC firm TNB Aura announced today the launch of a new Special Situations Fund, which intends to invest US$2 million each in tech startups impacted by the COVID-19 pandemic.
In a statement, TNB Aura said it aims to turn around funding within one to two months, and is open to a range of funding structures such as convertible notes or direct equity.
Interested applicants can apply through its Special Situations Fund Form.
All applications will be dealt with the highest confidentiality, the Vc firm said.
By providing an extended runway of 12-18 months to weather the headwinds, the fund serves to aid companies in returning their focus to achieving their targeted milestones.
“We are investing for the long-term, and seek to provide an encouraging narrative to the ecosystem at this critical time. Ultimately, we believe in strong fundamentals, and in the ability of selected companies to both weather the current storm and come out stronger on the other side,” said Co-founder and Managing Partner Charles Wong.
According to Co-founder and Managing Partner Vicknesh R Pillay, the fund sees an opportunity to support great companies, which are facing near-term cash flows issues as a result of the COVID-19 black swan event.
“Our highly selective and hands-on approach to investing has proven resilient, reflecting as such in majority our portfolio companies. With our financial acumen, we assist our investee companies to be nimble in the manner in which they manage their cash flow, budgeting and talent optimisation through volatility,” Pillay added.
“With the market having previously witnessed a glut of over-valued deals, and today, a current value dislocation, TNB AURA is targeting value deals of high quality for this new fund,” Pillay commented.
TNB Aura is focused on Series A and B technology investments in the region. The company normally invests US$1 million to US$5 million into the next wave of technology-led high growth companies.
Recently, a group of VC firms in the region came together to build a community-led talent database, which aims to bridge laid off startup employees impacted by COVID-19 with new opportunities.
The investors include Saison Capital, FutureLabs, Jungle Ventures, Alpha JWC, Convergence Ventures, Patamar Capital, Rainmaking, TRIVE Ventures, and Tribe Accelerator.
The official statement said that the initiative is inspired by a similar venture-led list in the US.