Attention startups: KK Fund just launched its second fund

KK Fund general partners Koichi Saito and Kuan Hsu.

KK Fund, a Singapore-based venture capital firm that’s active in Southeast Asia, has launched a second fund.

“We continue to see opportunities for technology startups in Southeast Asia, driven by improvements in infrastructure and regulation. Entrepreneurs in the region are also maturing alongside the ecosystem, which led us to launch our second venture fund,” KK Fund general partner Kuan Hsu says in a statement.

“KK Fund’s ability to value-add to early-stage startups and its strength in aligning the interest of our investors to the growing opportunities in the region will continue to serve as the key factors in propelling our growth,” adds another general partner, Koichi Saito.

When asked, Koichi refused to disclose the size of the new fund but said “it’s much bigger than the first.”

“We [will] invest US$400,000 to US$500,000 under this second fund,” he noted.

Like the first one, the new fund will target early-stage startups in the region, as well as Hong Kong and Taiwan. It will look at opportunities in sectors such as ecommerce (particularly marketplaces), fintech, logistics, and media and entertainment.

Incubate Fund, an existing investor in KK Fund, injected money into the new fund. New investors include Tokyo-listed Sega Sammy Holdings (yes, that Sega) and Septeni Holdings, Mistletoe, and several family offices and individuals from Japan. Sega Sammy is involved in a wide range of businesses such as pachinko machines, arcade games, video content, and hotels and theme parks, while Septeni is a huge internet advertising agency in Japan. Mistletoe is a startup hub and investor in Tokyo.

Koichi started KK Fund in February 2015 after he left his position as director at Japanese VC firm IMJ Investment Partners. Kuan, a former principal at Tokyo-based VC Gree Ventures, got on board later in the year.

The duo leads the fund, which has so far invested in about 12 startups – Giztix, Hellowings, Event Pop, Bfab, Hostel Hunting, EduAdvisor, MotionElements, Fabelio, Loansolutions, Be Malas, TheLorry, and Kaodim.

“We still have not fully deployed the first fund,” Koichi shares.