Australia’s Square Peg Raises $550 Million to Bet on Startups


VC firm Square Peg Capital has raised US$550 million for its fifth fund focused on tech startups in Southeast Asia, Australia, and Israel.

This brings the Australia-based company’s total capital raised to US$1.6 billion across its five funds.
In a statement, the firm’s co-founder Paul Bassat said that US$350 million will go to early-stage startups while the rest will be used for late-stage deals.

Square Peg also said that the fund’s announcement comes as it continues to see growing potential in the Southeast Asia region, specifically in the sectors of consumer internet, fintech, edtech, future of work, healthtech, and software as a service.

Founded in 2012, Square Peg is one of Australia’s largest VC firms with assets under management of more than US$1.6 billion. The firm added that it has a 43% internal rate of return based on its exits.

It counts prominent companies such as Airwallex, Canva, Neuron Mobility, FinAccel, and Doctor Anywhere as part of its portfolio. Meanwhile, its investors include Hostplus and AustralianSuper.