Delta Capital’s Myanmar Opportunities Fund II (“MOF II”), along with two limited partners – IFU and Norfund, invested $30M into Frontiir, Myanmar’s leading internet services provider. The investment round was led by UK’s CDC Group and the funding will proceed toward Frontiir’s network coverage expansion.
Myanmar’s largest asset manager with AUM of $120M is actively deploying its second fund with a focus on ESG investing. The mandate is to align the investment thesis with ESG criteria to achieve strong returns along with long-term impact. “Fund II is much more institutionalized. Our investment mandate has changed and we have built the full ESG standards into our business,” said Nick Powell, managing partner of Delta Capital.
Delta Capital’s AUM reached $120M with the closing of second fund, making the firm the largest Myanmar-specific firm to date. The fundraising lasted for over a year and 30% of the fund has been already allocated at the time of closing, said Alexandra Vanderschelden, partner at Delta Capital. She elaborated “the fundraising process was particularly challenging due to Myanmar’s negative press coverage, nonetheless, the firm’s track record of operations and investments played a key role in providing comfort to investors”.
Delta Capital invested $7M in Easy Microfinance for a significant minority stake, marking the first direct investment in financial services. Easy provides micro-credit to families and entrepreneurs in Myanmar through the use of innovative digital solutions. “Delta Capital will help us build relationships with potential partners and mobilize additional funding, enabling Easy to support more micro-businesses across regions in Myanmar, and have a significant impact on financial inclusion” said Frank Sneiders, the managing director of Easy.