Indonesian VC firms Agaeti, Convergence announce merger, new fund

Indonesian VC firms Agaeti Ventures and Convergence Ventures have formally announced a merger agreement that combines both of their partners and members under a new planned fund.

Photo credit: AC Ventures

Called AC Ventures, the new entity will continue the prior funds’ respective strategies of investing in early-stage, Indonesia-focused tech opportunities, according to a statement. In particular, it will back companies in areas such as ecommerce, digital content, and fintech, as well as those serving micro, small, and medium-sized enterprises.

It aims to invest in up to 35 startups in Indonesia over the next three years.

AC Ventures was formally established in the third quarter of 2019 and has since then completed several investments, the company said. Its partners include Adrian Li and Donald Wihardja from Convergence, Michael Soerijadji from Agaeti, and Pandu Sjahrir from Indies Capital.

Agaeti and Convergence remain separate and fully deployed, according to the statement.

In total, Agaeti and Convergence have made over 70 early-stage investments, including those in startups like CoHive, Fore Coffee, Moka, Xendit, and Akseleran, among others.

According to Soerijadji, the first wave of investments in Indonesia has accelerated the technological adoption in sectors such as online shopping, ride-hailing, and fintech.

“However, Indonesia is still relatively early along the adoption curve, and the next wave will continue to follow more developed markets and see disruption happen in many more traditional spaces, as well as new opportunities.”

AC Ventures has also launched an initiative called Leadership Talks, a series of talks that would feature local leaders sharing their guidance on how to navigate the impacts of the Covid-19 outbreak. Its first talk, scheduled for later today, will feature Gojek co-CEO Andre Soelistyo.