Nexea Corporate Accelerator Program open for applications
By Digital News Asia July 2, 2021
- Total valuation of startups increased by more than US$14.4mil by May 2021
- Opportunity to work with corporates via pilot projects, run product testing
The Corporate Accelerator Program by Nexea is now open to all Malaysian-based technology startups and scaleups.
This year, the Corporate Accelerator Program is held in collaboration with co-organisers Malaysian Global and Innovation Centre, Malaysia Business Angels Network, Malaysia Digital Economy Corp and Amazon Web Services, supported by Cradle Fund. The corporates this year include Allianz General Insurance Company (Malaysia) Bhd and Spritzer Bhd, with more to come.
The Corporate Accelerator seeks to guide early startups and scaleups to achieve exponential growth by engaging with world-class investors, corporates and support partners in Malaysia. In its sixth year running the accelerator, Nexea has revamped the program by allowing for more partners and co-organisers resulting in a more uniﬁed startup ecosystem solely for the beneﬁt of startups.
Participating startups will get the opportunity to work with corporates via pilot projects, validation of the business model, real-world product testing and securing traction by having said corporates as potential customers.
Lapasar, an alum from 2017, when the program was known as the Multi Corporate Accelerator Program, is one of Nexea’s many success stories. A B2B wholesale tech company, they have grown 100x over four years and raised US$1.82 million (RM7.8 million) in a May funding round.
“Nexea has been on our journey since day one, funding us, together with Watchtower and Friends accelerator, the ﬁrst RM50,000 when we were merely an idea, providing us clients and subsequently follow-on funding. The mentors are people who have gone through the grind so when times are tough, speaking to them calms our nerves and allows us to focus on objective-driven solutions,” says Thinesh Kumar, founder and CEO of Lapasar.
[Ed: Para updated for accuracy to reflect Watchtower and Friends accelerator as the initial funder as well.]
Multiple investment rounds
The startups will also beneﬁt from the Corporate Accelerator’s multiple investment rounds, starting between US$12,000 (RM50,000) to RM250,000 and up to RM1 million each round afterwards.
There is one investment round in October for the top 5 startups. Follow-on funding is available one to three months after the accelerator ends.
Since its launch in 2016, Nexea has funded a combined RM8 million into more than 40 startups and claims the startups have seen combined revenue balloon from less than RM1 million at entry of the program to over RM150 million combined revenue as of May 2021.
[RM1 = US$0.241]
In terms of valuation, the startups were valued at a combined total of at least RM15 million prior to entering the program. Their total valuation increased by more than RM60 million to a combined total of more than RM75 million as of May 2021.
Nexea attributes this achievement to the exponential nature of tech startups and the capabilities of program mentors on advising startups especially in the areas of marketing and B2B sales.
Mentors include Peter Wee, previously an Executive Director at PwC and former Managing Director at Ricoh Malaysia, Alan Lim, partner at Nexea, having invested in more than 40 companies, Looi Kok Loon, former Group Managing Director at MBM Resources Bhd and Shi Ying Lau, former Head of GrabCar for Malaysia.
“What's unique about this program is that the Angel Investors actually mentor the startups with a great growth track record. Corporates will be coming in as well to potentially be a customer, invest or maybe even acquire startups,” says Ben Lim (pic), managing partner of Nexea. “The program brings together years of experience from ex-entrepreneurs who have expanded, acquired, and even listed their companies – all to share with upcoming entrepreneurs,” he adds.
With the stated objective of growing the next tech unicorns of Malaysia via the best mentors, corporates and co-organising partners, the ﬁve-month Corporate Accelerator Program is designed such that all participating startups will be able to improve traction, strategy and the other fundamentals of a startup with the guidance of mentors and experts. Startups will also beneﬁt from the six month Entrepreneurs Programme, that will run coherently, beginning Sept to Feb, designed for startups to learn and grow with their peers and mentors.
The Corporate Accelerator 2021 applications are open until 31 July 2021. All Malaysian-based technology startups that are interested in improving their business are encouraged to apply. To apply or ﬁnd out more about the Accelerator, visit the Corporate Accelerator website.