M&A Value Partners Asset Management Malaysia, a fund management company owned by Malaysia’s M&A Equity Holdings and Hong Kong’s Value Partners Group, has launched a new fund focused on initial public offerings (IPOs).
According to a statement from M&A Value Partners, the M&A Value Partners IPO Equity Fund is an actively managed fund that invests in equities, or equity-related securities of Malaysian companies “with a potential catalyst for re-rating over the short- to medium-term”.
These re-ratings could be a result of corporate actions such as IPO and pre-IPO exercises, takeovers, merger arbitrage, or strategic spin-offs.
The Fund also allows up to 20% asset allocation in unlisted securities for pre-IPO opportunities and charges investors a performance fee of 20% above the hurdle value during a particular performance period. The fund’s sales charge is up to 5% of the NAV per unit and the annual management fee is 1.75% per annum.
There is no redemption fee if the investor redeems units after 12 months of each of their purchase applications. However, a redemption fee of 1% is payable if the redemption request is made within 12 months of each purchase application.
