Singapore state investor Temasek Holdings has set up a new investment vehicle initially targeting local firms valued at $1 billion to $5 billion, as Singapore seeks to ramp up investments in fast-growing companies.
With S$4.5 billion ($6.1 billion) of funds under management, 65 Equity Partners will mainly make equity investments in established firms with regional or global aspirations, both companies said in a joint statement on Wednesday.
"The platform will also have flexibility to deploy funds into opportunities that may sit outside the core focus areas of Temasek, such as take-private situations or family business restructurings," said Lee Theng Kiat, chairman of Temasek International, the wholly-owned management and investment arm of Temasek Holdings.
65 Equity Partners, an independently managed and fully-owned investment platform of Temasek Holdings, will target deal sizes of between $100 million and $200 million, and expand across Southeast Asia, Europe and the United States after the initial phase.
It will invest across industries such as logistics, technology, healthcare, consumer, industrial and business services.
The new unit currently manages a joint S$1 billion fund with the Singapore government to develop regional companies, and a S$1.5 billion co-investment fund with the government to provide late-stage private financing for initial public offerings on the Singapore Exchange.
Ranked among the biggest investors in the world, Temasek Holdings is anchored in Asia and is a major investor in companies including Singapore Airlines, DBS Group and Keppel Corp.
Temasek Holdings also has funds offering venture capital to start-ups and invests in small and medium enterprises, among others.