DBS Bank has entered into a three-year partnership with multi-asset investment platform, Granite Asia, to provide support for Asia’s next-generation companies.
The partnership, said to be the first of its kind in the region, will combine investment and financing solutions, widen access to capital and support these companies through their growth journeys. It will tap DBS’s corporate and investment banking franchise to support Granite Asia’s funds and portfolio copmanies, while leveraging Granite Asia’s experience in guiding companies from private markets to an initial public offering (IPO).
Granite Asia has already seen five listings and 10 additional IPO filings among its portfolio companies in the past six months, according to the investment platform.
US$110 mil AI-focused IPO fund closed
The partnership started with Granite Asia’s closing of a US$110 million ($139.1 million) artificial intelligence (AI)-focused IPO fund, which was distributed to DBS’s wealth clients, the partners say on Feb 23.
The fund, which drew broad-based participation from investors across Southeast Asia, South Asia and Europe, seeks to accelerate Asia’s AI ecosystem by directing capital into the IPOs of high-growth AI-driven companies in the region.
See also: AfDB mulls tool to unlock up to US$4 tril for African projects
Citing data from Crunchbase, the partners note that over 13,000 AI-driven companies have been founded in Asia since 2015, with many now seeking growth capital.
The AI fund is the first in a series of funds to be developed under the partnership. Through the collaboration, Granite Asia will develop new funds exclusively for DBS’s clients and offer co-investment opportunities.
The partners have already confirmed a private capital product designed to accelerate the technology-enabled transformation of Asian businesses with non-dilutive capital in the pipeline. The product will also enable DBS’s wealth clents to access an asset class typically available to institutional investors.
See also: Blue Owl anxiety rattles the US$1.8 tril private credit market
Tan Su Shan, CEO of DBS says the partnership is a “clear expression” of DBS’s “One Bank approach”, integrating its wealth, institutional banking and global financial markets teams to serve its clients across their lifecycle.
“By combining DBS’ capabilities with Granite Asia’s deep founder relationships and track record in backing innovative Asian champions, we can offer differentiated investment opportunities to our clients and create new pathways for ambitious founders to expand internationally,” Tan adds. “With capital flows into Asia set to rise over the coming years, this initiative also catalyses a vibrant funding ecosystem at a time when listings are returning to Asia’s equity markets.”
Granite Asia’s senior managing partners, Jenny Lee and Jixun Foo, also welcome the move.
“This partnership unites two premier Asian institutions. Granite Asia brings a unique investment lens focused on technology and transformation, while DBS contributes unrivalled banking strength, capital markets expertise and regional networks. Together, we aim to support founders and companies as they scale across borders and mature into enduring global leaders,” says Lee.
“Our strength lies in a deeply connected founder and operator network that spans the journey from private markets to IPO. Working alongside DBS allows us to extend that platform as capital markets momentum returns and growth capital becomes more accessible across the region,” Foo adds.
