KUALA LUMPUR: Cradle Fund Sdn Bhd will see its 2017 allocation reduced to RM22 million, from this year's RM30 million.
The reduction has been announced in light of the healthy development of ecosystems for technology start-ups, which are increasingly able to tap into equity crowdfunding, as well as peer-to-peer financial and advisory facilities and services.
Cradle's chief investment officer Juliana Jan said this at the announcement of the fund's new co-investment partners to boost the ecosystem for Malaysian tech start-ups.
With six new co-investment partners, Cradle now has 31 in total, with RM190.2 million in co-investment funds.
At the event, Cradle's group chief executive officer Nazrin Hassan said that co-investment partners from various backgrounds will give Cradle an edge as an investor.
Cradle is an agency set up in 2003 under the Ministry of Finance Malaysia to manage its Cradle Investment Programme.
To date, more than 700 tech start-ups have benefited from Cradle, and the agency has the highest commercialisation rate among government grants in the nation.