ASX-listed Singapore-based VC Fatfish Internet Group is in talks to join forces with Swiss-based venture builder Mountain Partners AG (Mountain), aiming to raise AU$12.3 million (US$9.2 million) by selling certain assets — in a special purpose vehicle — to the European VC.
This proposal is currently in the “non-binding term sheet” stage, meaning there’s still a tonne of details to be hashed out — shareholders’ and board approvals, due diligence, fair value audit and definitive agreements. It is expected to close by Q4 2016.
Although Mountain will acquire those assets, Fatfish will retain full management of them, so it will be business as usual.
This joint venture will be branded as Mountain Asia. Its goal is to fund and build tech companies in Southeast Asia using Mountain’s global strategy. In other words, tech companies in Mountain Asia’s stable will potentially be able to tap into a vast network of contacts and resources spanning Asia and Europe.
Mountain has built and funded over 150 tech companies and created over 11,000 jobs across 22 countries. Notable companies are buyVIP (acquired by Amazon), Lieferando (acquired by Takeaway.com) and Secusmart (acquired by Blackberry). It typically invests in e-commerce, fintech and security companies.
Image Credit: Fatfish