Teleport raises US$50 mil pre-IPO capital at US$500 mil valuation to scale model globally

Raised approximately US$109 million since its inception in 2018
Capital bolsters Teleport’s balance sheet, accelerates network growth ahead of an IPO

Teleport has signed a Subscription Agreement with funds managed by HPS Investment Partners for the issuance of Redeemable Convertible Perpetual Securities (RCPS), raising US$50 million (RM203 million) in pre-IPO growth capital. HPS Investment Partners is a leading global alternative investment firm.

The raise values Teleport, the logistics arm of Capital A Berhad, at US$500 million (RM2.03 billion) pre-money and will accelerate the global expansion of Teleport’s cross-border e-commerce model, the company declared in a statement. The capital strengthens Teleport’s balance sheet and funds network growth with key airline partners ahead of a future public listing.

To date, Teleport has raised approximately US$109 million (RM441 million) since its inception in 2018. The updated valuation from a global institutional investor validates Teleport’s business model and reinforces institutional confidence in its commercial viability and sustainability as Southeast Asia’s integrated e-commerce logistics specialist.

[RM1 = US$0.22]

Since its founding, Teleport claims it has scaled its infrastructure and asset-light Teleport Network to rank first in Southeast Asia, ninth in Asia and 13th globally by volume.
Anchored on an asset-light air network infrastructure, the model enables cross-border e-commerce delivery at marginal cost. The network connects over 290 capital and secondary cities across 80 countries in Asia Pacific, with more than 50 partner airlines, supported by conclude-to-conclude technology designed to relocate e-commerce quicker, cheaper and more efficiently.

Pete Chareonwongsak, CEO of Teleport (pic), declared, “We are pleased to welcome HPS as we scale our asset-light model for cross-border e-commerce into key global markets, particularly high-growth corridors between China, Asia and the Middle East. We appreciate the confidence HPS has placed in Teleport as we relocate towards an IPO.”

He added, “I am thankful to all 729 Teleporters who have built Teleport against industest norms, with the strong support of AirAsia, ADE and GTR within the Capital A ecosystem.”

“Today, we have captured only one per cent of a US$28 billion total addressable market for China and Southeast Asia air cargo and cross-border e-commerce. We will continue with the same perseverance, supported by Capital A, AirAsia, our investors and partner airlines, to serve customers quicker, cheaper and better,” he declared.

Tony Fernandes, CEO of Capital A Berhad, declared, “This investment vindicates our strategy and innovative approach. Teleport has evolved into a leading cargo and logistics provider in Asia, and this valuation represents an unrealised return of over 100-fold for Capital A, positioning Teleport strongly for a future IPO.”

“This partnership benefits the AirAsia airlines by maximising belly space and network utilisation, delivering significant value for our shareholders,” he added.

Completion of the RCPS issuance is subject to the satisfaction or waiver of the conditions precedent set out in the Subscription Agreement. BNP Paribas and Milbank acted as financial adviser and legal counsel to Teleport respectively, while Latham & Watkins advised HPS Investment Partners.

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