Kathmandu, May 2, 2018: One to Watch (OTW) and True North Associates (TNA) announced collaboration to launch 20 million euros SME fund in Nepal. They aim to build largest PE fund for early stage growth companies in Nepal as per the press statement published today.
The partners aim to accelerate access to finance for innovative companies in Nepal by building the largest private equity fund in the country for early stage growth companies.
The collaboration will help Nepalese SMEs on their growth path by promoting international-local co-investments, enabling follow-up investments and exits. Providing access to finance and enabling companies to grow is a vital requirement for the economic development of the country.
TNA has acquired a substantial share in OTW, the SME portfolios of both companies will be combined and TNA-chairman Suman Joshi will take up the role of Managing Director at OTW. Joshi, who founded TNA in 2014 after a 24 year stint in the banking industry including 12 years at Standard Chartered Bank in Nepal, will focus on expanding the SME portfolio. The arrival of Joshi strengthens the team tremendously as the former banker brings in extensive investment management expertise, vast experience and a large network.
Joshi will share his responsibilities as managing director with OTW-founder Willem Grimminck, who remains the majority shareholder and stays on as Chairman and Managing Director. Grimminck, a Dutch national who has been living in Kathmandu for six years, will focus increasingly on raising funds, fund management and business development. “We want to go beyond finance in our support to Nepalese companies,” says Grimminck. “By expanding our service and support to our portfolio companies we intend to accelerate their growth.”