Brief about Vietnam Azalea Fund

Vietnam Azalea Fund (VAF) was launched in June 2007 and manages $100 million in committed capital. VAF leverages Mekong Capital’s on-the-ground presence in Vietnam and investment experience by making minority investments in the pre-listed and listed segments of the private equity investment universe. The fund targets Vietnamese future blue-chip companies, both privately and formerly state-owned.

VAF is positioned at the late-stage/ low liquidity risk end of the Private Equity investment spectrum and mainly focuses on companies which are less than 24 months from time of listing or already listed. This investment universe distinguishes VAF from MEFs whose strategy focusing on growth capital and buy-out of companies which are more than 24 months to listing.

 

Life of the Fund

The expected life of the Fund is 10 years from June 2007; however it could be longer depending on the decision of the shareholders of the Fund. When the Fund makes an investment, it expects to hold the investment for 2 to 4 years, but it could be longer or shorter depending on the circumstances.

 

Differentiation from Other Funds

The fund is unique from other investment funds looking for investments in Vietnam in the following ways:

  1. The Fund targets leading Vietnamese businesses with clear potential to becoming blue-chip companies in their sectors by the time the fund exits;
  2. The Fund provides value-added assistance to the companies in which it invests, including Corporate Governance advisory, IR/ Communication consultancy, IPO preparation assistance, introduction to commercial business opportunities and M&A opportunities and other strategic advisory where appropriate;
  3. The Fund aims to only invest in companies that have ambitious and proactive management teams and a commitment to developing a strong management team;
  4. The Fund is very selective about the investments that it makes, preferring to make fewer investments in order to only invest in excellent companies with a high likelihood of being successful investments;
  5. The Fund invests at deep discounts to the expected valuation multiple at time of exit
 

Fund's Legal Form

The Fund is domiciled in the Cayman Islands. The Fund is expected to be listed when it is fully invested.

 
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