OSKVI and Affin Hwang launch first joint venture debt fund for Southeast Asia
What's the deal? OSK Ventures International (OSKVI)Dealroom has a profile for this one. Try Dealroom → and Affin Hwang Investment BankDealroom has a profile for this one. Try Dealroom → have launched Pothos Fund IDealroom has a profile for this one. Try Dealroom →, a venture debt fund aimed at sophisticated investors and targeting high-growth companies across Southeast Asia. The fund runs on a three-year investment tenure.
Who's running it? Pothos GPDealroom has a profile for this one. Try Dealroom →, a subsidiary of OSKVI, is the fund manager, with strategic equity participation from Affin Hwang. It is the first dedicated venture debt vehicle the two firms have launched jointly.
What's the strategy? Unlike traditional venture capital, which centres on equity, Pothos Fund I uses a structured venture debt approach. It will target revenue-generating businesses with proven models, strong management, and predictable cash flows poised for regional expansion.
The fund offers debt-equity hybrid financing, aiming to deliver returns through contractual income, downside protection, and selective equity participation. For companies, it promises longer operational runway and less dilution for existing shareholders.
What's the endgame? The firms want to open an asset class long reserved for large institutions to a wider pool of sophisticated investors, while filling a gap in Southeast Asia's innovation funding.
"As companies mature, their financing needs evolve, and venture debt provides a valuable option alongside traditional equity funding," said OSKVI chief executive officer Amelia Ong.
Who brings what? OSKVI carries more than two decades of venture experience, having invested in, nurtured, and exited over 50 technology and enterprise companies across the region. Affin Hwang adds capital-markets expertise, private-market structuring, and access to a broad network of institutional and sophisticated investors.
The signal: Venture debt is gaining ground as a complement to equity in Southeast Asia, giving maturing startups capital without heavy dilution. The tie-up shows established regional players building out a fuller financing stack for a market still short on non-equity options.
Read more: theedgemalaysia.com
Image credit: Benson Kua
