Malaysia’s OSKVI and Affin Hwang move into venture debt with Pothos Fund I
In Southeast Asia’s startup market, the era of “raise fast, spend faster” has given way to a more disciplined question: how can companies keep growing without giving away too much of themselves? That shift is creating room for financing products that sit between bank loans and venture capital. OSK Ventures International and Affin Hwang Investment […] The post Malaysia’s OSKVI and Affin Hwang move…
Malaysia's OSK Ventures International and Affin Hwang Investment Bank have launched Pothos Fund I, a venture debt fund aimed at high-growth companies in Southeast Asia. The fund, managed through Pothos GP, will provide debt-equity hybrid financing to companies that have moved beyond the earliest stage of startup life and have revenue-generating businesses with proven models, stronger management teams, and more predictable cash flows.
Venture debt offers a middle ground between traditional bank loans and venture capital, providing exposure to private technology companies through a structure that includes contractual income, downside protection, and selective equity participation. The launch of Pothos Fund I is significant as it caters to the growing demand for capital-efficient financing options for middle-stage startups in the region, where equity funding has become more selective after the global correction in tech valuations.
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