SEA Quarterly Investment Analysis Q3 CY 2024 October 2024 Confidential and proprietary © 1Lattice
Foreword The Southeast Asia (SEA) region is a dynamic area due to its strategic location in the Asia - Pacific region and its rapidly expanding economies. The region has shown steady growth due to rising consumption, Praneet Singhal economic expansion, and increased exports. Director In Q3 2024, startups in Southeast Asia raised US$ 1.6B across 100 deals, including early, growth, late, and Financial Investors and debt investments, marking a 25% quarter - on - quarter increase. On a year - over - year basis, investment 1Alpha sentiment has also improved due to a rise in growth - stage deals and the reappearance of late - stage deals compared to their absence in Q2. Southeast Asia is benefiting from increasing internet penetration and population growth, leading to a younger generation of consumers who seek digital - first solutions integrated into nearly every aspect of their lives. Digital consumption and adoption are rising rapidly, particularly in the consumer tech and enablement Abhilasha Jaju sectors. There is still significant potential for startup growth, especially as Southeast Asia has demonstrated resilience amid the recent months of rising global inflationary pressures. Director Financial Investors and The investment outlook for Southeast Asia remains bright, with numerous growth opportunities ahead. As Banking, Financial the middle class expands, adoption of tech increases, and disposable incomes rise, there will be increased Services, & Insurance demand for consumer technology products, similar to trends seen in other developing markets. This report aims to uncover some key trends in Southeast Asia's funding ecosystem during the second quarter of the calendar year 2024. At 1Lattice, we hold an optimistic outlook, believing that this report will provide valuable insights. We eagerly anticipate the opportunity to engage in an open dialogue with our partners across diverse industries, as we exchange notes and delve deeper into these matters while closely Devmalya Mukherjee monitoring the evolving situation. Director Financial Investors © 1Lattice | 2
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Key highlights Funding Average deal size # Deal v olume US $ 1.6 B US$ 16.2M 100 (includes early, growth, debt and late - stage investments) SNAPSHOT Q3 CY 2024 Top funded sector Most funded stage E arly & growth stage funding SaaS/AI Growth US$ 1.2B
Key takeaways ● SEA startups raised US$ 1.6B across 100 deals (early to late stages) in Q3 CY24, signaling an increase of ~ 25% , despite a decrease in # volume ( 15% ) as compared to Q2 CY24 ‒ Early - stage deals declined by ~40% and growth stage deals have increased by ~100% in Q3 CY 24 as compared to Q2 CY24 ‒ Late - stage deals surged to US$ 130M in Q3 CY24 as compared to absence in Q2 CY24 ‒ Debt deals increased by 50% as compared to Q2 CY24 ● Singapore attracted highest funding (~US$ 730M ) , followed by Thailand (~US$ 275M ), and Indonesia (~US$ 260M ) ● SaaS/AI was the most attractive sector for early - stage investments (US$ 175M ) followed by Consumer App & Platforms ( ~US$ 55M ) ‒ WSPN , a digital payments company offering global payment solutions for businesses, received the highest funding of ( US$ 30M) among early - stage investments ‒ Chainbase , a web3 data infrastructure for data management, received the second highest funding of ( US$ 15M) among early - stage investments ● Consumer app & platforms dominated growth - stage investments (~US$ 370M ) followed by SaaS/AI (~US$ 210M ) ‒ Ascend Money, a financial services platform for individuals, received the highest funding of US$ 195M among growth stage investments ‒ Supabase , a cloud based open - source application backend development platform , received the second highest funding of US$ 80M among growth stage investments ● Beesnext , Gobi Partners, Animoca Brands , and Seeds Capital were the most active early - stage investors in Q3 CY24 while Peak XV and AC Ventures were the top investors for growth stage deals during this quarter Note(s): * NaBFID – National Bank for Financing Infrastructure and Development
Funding market by funding round Series B (~US$ 360M) and debt (~US$ 340M) funding were the highest contributors to overall funding raised in Q3 CY24 Funding market round wise break - up (US$ M, Q3 CY24) Total funding size: US$ 1,624 M* 195 256 Series D Series C 341 359 7 4 Debt Series B Series F 128 213 Seed Series A 57 P E Note(s): * An approximate amount has been assumed for undisclosed deals basis previous deals of investors & the funding stage Source(s): 1Lattice Deals Database, statistical reports, industry reports, secondary research © 1Lattice | 6
Funding market by sectors SaaS/AI sector (~US$ 440M) saw the most interest from investors, followed by Consumer Apps & Platforms (~US$ 400M) in Q3 CY24 Funding market segment wise break - up (US$ M, Q3 CY24) Total funding size: US$ 1,624 M* 83 93 241 397 Others 437 Energy 34 81 BFSI Transport & Logistics Consumer Apps & SaaS/AI 29 Manufacturing Platforms 122 80 Healthcare & Life Sciences 24 # Ecommerce & Engg . & Construction FMCG Listing Platforms Note(s): * An approximate amount has been assumed for undisclosed deals basis previous deals of investors & the funding stage; # - Retail ( US$ 2M) Source(s): 1Lattice Deals Database, statistical reports, industry reports, secondary research © 1Lattice | 7
Funding market by sectors SaaS/AI sector saw the highest deal volume from investors (35 deals), followed by Consumer Apps & Platforms (~20 deals) in Q3 CY24 Funding market segment wise break - up (#, Q3 CY24) Total deals : 100 6 10 6 18 35 Energy Others 3 5 BFSI Manufacturing Consumer 8 E - commerce & listing 3 SaaS/AI platforms Apps & Platforms 4 Transportation & logistics 1 1 Healthcare & Life Sciences FMCG Engg . & Retail Constructions Note(s): * An approximate amount has been assumed for undisclosed deals basis previous deals of investors & the funding stage Source(s): 1Lattice Deals Database, statistical reports, industry reports, secondary research © 1Lattice | 8
Top 10 highest funded companies Ascend Money received the highest investment (US$ 195M), followed by Supabase (US$ 80M) in Q3 CY 2024 195 80 Top 10* highest funded 80 companies of Q3 CY 2024 (US$ M) 76 75 35 74 35.3 73 60 Equity deals Debt deals Note(s): *Only deals with disclosed amounts were considered, Source(s): 1Lattice Deals Database, statistical reports, industry reports, secondary research © 1Lattice | 9
Agenda Deal landscape in Q3 CY24 Key deals and investment themes Key investors
Region definition Definition - SEA Vietnam Philippines Thailand Malaysia Singapore Indonesia © 1Lattice | 11
Stage wise investments Total investments have increased by ~25% to US$ 1.6B as compared to the last quarter, primarily due to an increase in growth - stage deals Investment amount and # deals (US$ B, Q3 CY23 – Q3 CY24) 137 118 114 111 1.9 100 1.7 1.6 Q2 witnessed 0.7 no l ate - stage 0.4 0.3 deals 1.3 0.1 0.2 1.1 0.8 0.6 0.4 Q3 witnessed no l ate - stage deals 0.7 0.8 0.7 0.6 0.5 0.4 0.4 Q3 CY23 Q4 CY23 Q1 CY24 Q2 CY24 Q3 CY24* Early Growth Late Debt Deals Note(s): * An approximate amount has been assumed for undisclosed deals basis previous deals of investors & the funding stage Source(s): 1Lattice Deals Database, statistical reports, industry reports, secondary research © 1Lattice | 12
Country - wise investments Singapore drew highest investment (~US$ 730M), followed by Thailand (~US$ 275M) Avg. deal size 1 5 .3 69 14.3 16.4 14.1 6 .6 (US$ M) = High average due to funding round of Ascend Money 48 (US$ 195M), Amity (US$ 60M) 733 18 12 10 276 8 258 4 113 164 79 Singapore Thailand Indonesia Philippines Vietnam Malaysia Note(s): Chart includes only early (Pre - seed, seed, pre - series and Series A), & growth (Series B, C, D and E) stage investments; An approximate amount has been assumed for undisclosed deals basis previous deals of investors & the funding stage © 1Lattice | 13 Source(s): 1Lattice Deals Database, statistical reports, industry reports, secondary research
Average deal size Average deal size increased by ~60% over the last quarter while early - stage deals contribute ~80% to the total deal volume Split of deal volume Average deal size* (#, Q2 CY23 – Q3 CY24) (US$ M, Q2 CY23 – Q3 CY24) 16.2 N = 114 132 111 118 100 10% 14% 15% 18% 22% 12% 11.1 10.2 86% 85% 9.9 82% 78% 78% 9.6 Q3 CY23 Q4 CY23 Q1 CY24 Q2 CY24 Q3 CY24* Q3 CY23 Q4 CY23 Q1 CY24 Q2 CY24 Q3 CY24* Early Growth Debt Note(s): Chart includes only early (Pre - seed, seed, pre - series and Series A), & growth (Series B, C, D and E) stage investments; *An approximate amount has been assumed for undisclosed deals basis previous deals of investors & the funding stage Source(s): 1Lattice Deals Database, statistical reports, industry reports, secondary research © 1Lattice | 14
Agenda Deal landscape in Q3 CY24 Key deals and investment themes Key investors
Top 10 investments Ascend money raised the highest equity funding of US$ 195M and Lhoopa secured the highest debt round of US$ 80M Top 10 investments in Q3 CY24* Amount Company Sector Funding stage Country Key Investors (US$ M) C onsumer App & 195 Growth MUFG Bank Platforms IFC,10X Group,Concentric Equity Partners,Pavilion Engg . & Construction 8 0 Debt Capital,NataRock Partners Fund S aaS /AI 80 G rowth Peak XV partners,Craft Ventures FMCG 7 6 Growth Temasek,Granite Asia,TR Capital B FSI 7 5 Debt Asian Infrastructure Investment Bank M anufacturing 7 4 L ate 65 Equity Partners BFSI 7 3 Growth Singtel Peak XV partners,Valor Equity Partners,Jump Trading S aaS /AI 6 0 Growth investments S aaS /AI 6 0 Growth Insight Partners O thers 5 7 L ate Kumpulan Wang Persaraan Note(s): *Only deals with disclosed amounts were considered © 1Lattice | 16 Source(s): 1Lattice Deals Database, statistical reports, industry reports, secondary research
Early - stage investments in Q3 CY24 SaaS/AI received highest funding (US$ 175M) among early - stage investments followed by Consumer Apps & Platforms (~US$ 55M) Early - stage investments, by sector* Top 10 early - stage investments in Q3 CY24** (US$ M, Q3 CY24) Amount Company Sector Key Investors (US$ M) SaaS/AI 175 Folius Ventures, Hash Global, Foresight SaaS/AI 30 Ventures, Redpoint Ventures, Generative Consumer App & Platforms 54 Ventures Folius Ventures, Hash Global, Tencent Healthcare & Life Sciences 29 SaaS/AI 15 Holdings, Matrix Partners China, Jsquare Consumer app & Energy 29 Theory Ventures, Delphi Ventures, Hack VC 14 platforms Ecommerce & Listing Platforms 24 Transportation & E urazeo 12 logistics Transportation & Logistics 12 Consumer app & Franklin Templeton PE, ABCDE, Stake 11 platforms Capital Group, WAGMI Ventures BFSI 6 SaaS/AI 10.5 SBI Ven Capital Pte Retail 3 E - commerce & listing 1 0.5 Kejora - SBI Orbit Fund platform Manufacturing 3 SaaS/AI 10.5 BEENEXT, A2D Ventures FMCG 2 E - commerce & listing 1 0.5 Gobi Partners, ADB ventures platform Others 4 Consumer app & 10.5 Animoca Brands platforms Note(s): Early - stage investments include Pre - seed, Seed, Pre - series and Series A; Sequoia Capital is now Peak XV Partners; © 1Lattice | 17 * An approximate amount has been assumed for undisclosed deals basis previous deals of investors & the funding stage; ** Only deals with disclosed amounts were considered Source(s): 1Lattice Deals Database, statistical reports, industry reports, secondary research
Top early - stage investments in Q3 CY24 Top funded early - stage startups with their competitors Company Description Competitors Digital payments company offering global payment solutions for businesses Web3 data infrastructure for data management Crypto network through architectural ownership Web - based fleet operations and management for the logistics and transportation industry Bitcoin - based blockchain security layer platform Note(s): Early - stage investments include Pre - seed, Seed, Pre - series and Series A; Only deals with disclosed amounts were considered Source(s): 1Lattice Deals Database, statistical reports, industry reports, secondary research © 1Lattice | 18
Growth - stage investments in Q3 CY24 Consumer App & Platforms dominated growth - stage investments (~US$ 370M) followed by SaaS/AI(~ US$210M) Top 10 growth - stage investments in Q3 CY24** Growth - stage investment, by sector* (US$ M, Q3 CY24) Amount Company Sector Key Investors (US$ M) Consumer App & 195 MUFG Bank Consumer App & Platforms 368 Platforms SaaS/AI 80 Peak XV partners, Craft Ventures SaaS/AI 209 FMCG Temasek, Granite Asia, TR Capital 76 BFSI 82 BFSI Singtel 73 Peak XV partners, Valor Equity Partners, FMCG 80 SaaS/AI 60 Jump Trading investments SaaS/AI 60 Insight Partners Energy 55 Norfund, British International Investment, Energy 55 Swedfund International, AC Ventures Transportation & logistics 21 Consumer App & 3 8 The Rise Fund Platforms Consumer App & XVC, SWC Global, Richen Pioneer, Antao Others 25 30 Platforms Capital Consumer App & 27 Valar Ventures Platforms Note(s): Growth - stage investments include Series B, C, D and E © 1Lattice | 19 * An approximate amount has been assumed for undisclosed deals basis previous deals of investors & the funding stage; ** Only deals with disclosed amounts were considered Source(s): 1Lattice Deals Database, statistical reports, industry reports, secondary research
Top growth - stage investments in Q3 CY24 Top funded growth - stage startups with their competitors Company Description Competitors Financial services platform for individuals Cloud based open - source application backend development platform Brand offering vegan milk products Commercial bank transforming into a bank with digital services Provider of blockchain development services Note(s): Growth - stage investments include Series B, C, D and E; Only deals with disclosed amounts were considered Source(s): 1Lattice Deals Database, statistical reports, industry reports, secondary research © 1Lattice | 20
Tech investments in Q3 CY24 FinTech (~US$ 60M) and Crypto (~US$ 40) attracted highest tech investments in Q3 CY24 Top 10 early - stage tech investments in Q3 CY24** Early - stage investments, by sector (US$ M, Q3 CY24 * ) Amount Company Sector Key Investors (US$ M) FinTech 59 Folius Ventures, Foresight Ventures, Hash FinTech 30 Global, Generative Ventures, Redpoint Crypto/Blockchain 41 ventures Tencent Holdings, Matrix Partners China, EnterpriseTech 23 Analytics 15 Folius Ventures, Hash Global, Jsquare , Bodl Horizontal Ecommerce 21 Crypto/Blockchain 14 Theory Ventures, Delphi Ventures, Hack VC Environmental Tech 19 Transportation & 12 Eurazeo HealthTech Logistics 16 Franklin Templeton PE, ABCDE, Stake Capital Analytics 15 Crypto/Blockchain 11 Group, WAGMI Ventures, Skyland Ventures Logistics Services 12 Logistic tech 10.5 SBI Ven Capital Pte Logistic tech 11 Horizontal 10.5 Kejora - SBI Orbit Fund Ecommerce Cybersecurity 10 10.5 AutoTech EnterpriseTech BEENEXT, A2D Ventures 9 CRM / Chatbots 7 Horizontal 10.5 Gobi Partners, ADB Ventures Others include Developer Ecommerce Tools and Platforms , Others 43 Cloud services & Infrastructure, Logistics Crypto/Blockchain 10.5 Animoca brands tech, AgriTech, Pharma etc. Note(s): * An approximate amount has been assumed for undisclosed deals basis previous deals of investors & the funding stage; ** Only deals with disclosed amounts were considered; © 1Lattice | 21 Source(s): 1Lattice Deals Database, statistical reports, industry reports, secondary research
Agenda Deal landscape in Q3 CY24 Key deals and investment themes Key investors
Active investors Peak XV and AC Ventures have made the highest number of investments among growth - stage investors in Q3 CY24 Early - stage investors Debt investors Growth - stage investors (# deals) (# deals) (# deals) 3 2 2 3 2 1 3 1 1 3 1 2 1 1 2 1 1 2 1 1 2 1 1 2 1 2 1 Source(s): 1Lattice Deals Database, statistical reports, industry reports, secondary research © 1Lattice | 23
Active early - stage investors Most active early - stage investors and their investment segments in Q3 CY24 Ecommerce & Consumer Healthcare & Investors listing Manufacturing Energy SaaS/AI app & BFSI FMCG Others Life Sciences platforms platforms - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - © 1Lattice | 24 Source(s): 1Lattice Deals Database, statistical reports, industry reports, secondary research
Active growth - stage investors Most active growth stage investors and their investment segments in Q3 CY24 Ecommerce & Consumer Healthcare & Transportation & Investors Listing FMCG SaaS/AI app & BFSI Energy Life Sciences logistics Platforms platforms - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - © 1Lattice | 25 Source(s): 1Lattice Deals Database, statistical reports, industry reports, secondary research
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We are here for you Let us know how we can meet your business requirement? Abhilasha Jaju Devmalya Mukherjee Praneet Singhal Director, Financial Investors and Banking, Director, Financial Investors Director , Financial Investors and 1Alpha Financial S ervices, & Insurance E : devmalya .mukherjee@1lattice.com E: praneet.singhal@1lattice.com E: abhilasha .jaju@1lattice.com For media queries, please contact Vaishnav Kumar Rai Manager – Corporate Communications E: communications@1lattice.com M: +91 782 794 4925 www.1lattice.com Disclaimer: This material has been prepared by 1Lattice, which is the trade name of Lattice Technologies Private Limited (“1L att ice”, “we” or “our”) with the intent to showcase our capability and disseminate learnings to potential partners/clients. This material can be referred to by the readers on the internet but should be referenced to 1Lattice, if reused or adapted in any for m, or medium and on any forum. The frameworks, approaches, tools, analysis and opinions are solely 1Lattice’s intellectual property and are a combination of the collection of the best data we could find publicly, and the 1Lattice team’s own experie nce s and observations. Any information provided herein is only for informational purposes and you are advised to perform an independent analysis of the same before making any decision based on such information. The information does not constitute an y b usiness advice or guidance and is to be construed as a general summary based upon the publicly available information and our interpretation of the same using our resources. For this material, we may have relied upon different sour ces of information which may be primary sources, publicly available information, and relevant information available with us. We make no representation or warranty, expressed or implied, that such information is accurate or complete, and nothing conta ine d here can be construed as definitive predictions or forecasts. Before reading further, the Recipient expressly agrees that this might not address any and all risks and challenges facing the Recipient, its business, and the markets within which it operates, nor all possible market co nd itions. Any use of the information provided herein by the viewer shall be at the sole risk of the viewer and 1Lattice or its business partners, affiliates, agents, officers or employees shall not be liable for any un int ended or adverse effect or outcome from the use of such information by the reader. 1Lattice does not have any duty to update or supplement any information in this document. 1Lattice shall not be responsible f or any business or commercial loss sustained by any person who relies on any information provided herein. Any and all logos of companies used in the information provided herein have been published for information purposes only and 1Lattice doe s not hold any liability in connection therewith.
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