SpringHill BioVentures Launches RM114 million (US$30million) Malaysian VC Fund for Biotechnology

Kuala Lumpur, Malaysia… SpringHill BioVentures Sdn Bhd (formerly known as Formasi Bermutu Sdn. Bhd.) ('SBV' or the 'Fund') announces that it has formed a RM114 million (US$30 million) venture capital fund to invest in biotechnology companies. The shareholders of the fund are Khazanah Nasional Berhad, Great Eastern Life Assurance (Malaysia) Berhad, PacificMas Group and TH Group Bhd.

SBV has appointed SpringHill Management Sdn Bhd (formerly known as Ikatan Menawan Sdn. Bhd.) ('SMSB') as the fund manager. SMSB is run by Dr. Kim Tan, an experienced biotech entrepreneur.

The Fund will seek to encourage the development of the biotech industry in Malaysia in line with the government's vision. The Fund will be strategic partner of the BioValley project. SBV will invest in existing Malaysia biotech companies. It will also initiate its own-start-ups in Malaysia through forming joint-ventures with foreign companies. In addition, the Fund will invest in start-ups and under-valued biotech companies in the EU and USA.

Tan Sri Dato' Mohd. Sheriff bin Mohd. Kassim, Khazanah's MD, commented: "Khazanah recognizes the importance of developing a biotechnology industry in the country and in line with the government's aspirations as laid down in the 8th Malaysian Plan, Khazanah has taken a proactive role by joining forces with Dr Kim Tan, a successful Malaysian bio-entrepreneur, and the others to further promote the growth of the industry and to develop the business and technological know-how specific to this industry. It is our hope that this would help encourage our local scientific community to actively participate in biotechnology related ventures and to spur the development of the BioValley in Malaysia."

Alex Foong Soo Hah, Director and CEO, Great Eastern, commented: "We are privileged and honoured to be given the opportunity to participate in a project of national importance and national pride. Indeed, we see the exciting potential in the future of the biotech industry particularly in Malaysia. It is also our desire to add value to our portfolio of investments by taking a strategic stake in an upcoming industry with promising high returns.

Mr. Choi Siew Hong, PacificMas Chairman, commented: "With our investment in SpringHill BioVentures, we hope to play a meaningful role in promoting and developing biotechnology industry in Malaysia. The Fund's focus on life sciences and biotechnology investments will also complement our position as a major healthcare insurance provider under The Pacific Insurance Berhad, a wholly-owned subsidiary of PacificMas Berhad. This venture capital investment forms part of the PacificMas Group's effort to diversify into other financial services in order to raise the profitability of the Group and enhance shareholders' value."

Mr. Lei Lin Thai, Group Managing Director of TH Group Berhad (TH Group), commented: "I am very pleased that TH Group is part of this initiative. The biotechnology industry is fast growing in Malaysia, and we believe Malaysia has a pool of talented and experienced biotechnologists that we can tap into. We see our investment now in the SBV Fund as part of our Group's continuing efforts to support the Biotechnology sector."

Dr. Kim Tan, SMSB Chairman, commented: "The biotech industry is an important part of the global economy. It is hope that Fund will contribute towards the establishment of the industry in Malaysia. I am delighted by the foresight and leadership of the Fund's investors - Khazanah, Great Eastern, PacificMas and the TH Group - to launch this new biotech Fund. I look forward to working with them and the BioValley management to create a successful and vibrant biotech industry in Malaysia"

Notes to Editors

Khazanah Nasional Berhad, a wholly owned subsidiary of the Ministry of Finance (Inc), is the investment holding arm of the Government of Malaysia entrusted to manage assets held by the Government of Malaysia and to undertake strategic investments particularly in high-technology projects.

Great Eastern Life Assurance (Malaysia) Berhad established in 1908, is the oldest and largest insurance company in Malaysia with assets in excess of RM18 billion and more than 2.4 million policies in force. The company provides financial planning, financial protection and financial savings through its service network of 17,000 agents and 24 Great Eastern branches nationwide.

PacificMas Berhad is listed on the Main Board of the Kuala Lumpur Stock Exchange and is an investment holding company. It is primarily involved in financial services namely general insurance, unit trust management, leasing, investment property holding, fund management and trustee services.

TH Group Bhd, is listed on the Main Board of the Kuala Lumpur Stock Exchange and has principal activities in oil palm plantations, contracting services, provision of IT services, e-commerce solutions, softwares development and technology investments.

SMSB is owned and managed by Dr Kim Tan, an experienced biotech entrepreneur. Dr Kim Tan is a director of a number of listed biotech companies in the United Kingdom. He is also the chairman of AsiaPrise Biotech Sdn. Bhd., a company which operates the Nilai Cancer Institute, a private specialist cancer centre for treatment and clinical research.

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