VCorp Capital Management: Catalyst for business growth of high-growth and pre-IPO companies
VCorp Capital Management, established since 2020 as a PE investment firm and fund manager registered with the Securities Commission of Malaysia (SC), is grounded on providing secured direct financing to companies that have been underserved by traditional financial institutions.
Handling over RM200 million (US$47.3 million) in AuM and targeting returns between 12% and 25% per annum, this firm capitalizes on managing investment portfolios with access to private debt instruments that are not publicly traded and are typically held by the lender until maturity as these financing needs are event-driven and customers have established a defined repayment strategy.
This type of portfolio diversification has low correlation to public markets and provides investors exposure to high-growth sectors and Southeast Asian SMEs, including those eyeing potential IPOs, noted Managing Partner Rex Fong.
“Such direct lending offers the dual benefits of higher yields and lower volatility plus a greater control over investment terms, making it a preferred choice for many institutional and individual investors.”
VCorp Capital Management has identified clear private debt investment opportunities based on recent reports by both the SC and Bank Negara Malaysia, which indicate the financing gap for SMEs in Malaysia alone exceeds RM100 billion (US$23.65 billion) – as rejection rates by banks for SME loan applications stand at over 30%.
The Institute for Capital Market Research Malaysia also recently found that despite various initiatives to diversify the sources of f inancing for SMEs, the share of non-bank financial institutions (NBFI) to total loans in Malaysia is the lowest among regional peers.
Bank loans and non-bank financial institutions financing across ASEAN region in 2024
Term Sheet
| ENTITY NAME | VPI Secured Capital PLT |
| COMPANY TYPE | Limited Liability Partnership |
| JURISDICTION | Malaysia |
| TERM | 2 years |
| CURRENCY | Ringgit Malaysia (“RM”) |
| TOTAL RAISE | RM100 million (US$23.65 million) |
| ASSET TARGETS | Local and regional corporatized, high-growth Islamic and conventional asset management companies in Southeast Asia |
| SECURITY | Underlying portfolio and financing are secured against real property, cash flow generating assets and corporate guarantees |
| OBJECTIVE | Our investment objective is to provide consistent annual income distribution and capital protection through secured direct f inancing strategies |
| STRATEGY | Our strategy involves issuance of private debts instruments, where the underlying portfolio consists of secured financing, at least 80% of which is backed by collateral such as real estate, with loan-to-value ratio capped at 50%. Tenure is normally less than one year and typically consists of bridge financing or corporate debt |
| GEOGRAPHY | Southeast Asia, especially Malaysia |
| MINIMUM COMMITMENT | RM250,000 (US$59,123) |
| CLASS TYPES | Restricted Wakalah bi Al-Istithmar partnership unit Class A |
| FUND MANAGER | VCorp Capital Management Sdn Bhd, with Pi Capital Sdn Bhd as portfolio advisor |
| SHARIAH ADVISORY FIRM | Masryef Advisory |
Key Executives & Board of Directors
Email: victor@vcorpcapital.com
Mobile: +6012 899 6886
Country: Malaysia
Region: Southeast Asia
Email: rexfong@vcorpcapital.com
Mobile: +6016 906 2731
Country: Malaysia
Region: Southeast Asia
