Hi-P Gets $74.06 Million Funding from 65 Equity Partners
Singapore-headquartered regional advanced manufacturing service provider Hi-P International Pte Ltd. (Hi-P) on Tuesday said that it has partnered with 65 Equity Partners, a global investment firm backed by Temasek, to accelerate Hi-P’s pursuit of its next stage of growth.
65 Equity Partners has made a fresh capital injection of $74.06 million into Hi-P through its Local Enterprise Fund, which is a joint $740.6 billion fund with the Singapore Government, led by the Ministry of Trade & Industry, with the goal of developing Singapore champions.
Hi-P will work with 65 Equity Partners to develop plans for a new strategic focus and leadership succession for growth acceleration and sustainability. In the meantime, Hi-P will also tap the investment firm’s extensive network to bolster its board of directors, en route to its goal of a potential public listing in the future. 65 Equity Partners will have a seat on Hi-P’s board and play an active role in achieving these plans.
Hi-P Executive Chairman and founder Yao Hsiao Tung said that having grown their capabilities, capacity and customer base over the past few years, the company was excited about its prospects, and look forward to working with 65 Equity Partners to hone business strategy.
“This will be crucial for us to achieve our aim of greater growth globally. With its investment strategy, expertise and network, I have no doubt that 65 Equity Partners is the right partner on this journey,” Tung added.
Eyeing Global Stage
65 Equity Partners CEO Tan Chong Lee said that they were drawn to Hi-P’s established market position and robust track record as one of the leading advanced manufacturers in Asia, with a diverse blue-chip customer portfolio, many of whom are among the top global players in their respective industries.
“Yao and his team now have their eyes set on the global stage and we are eager to partner them in their next phase of growth. This partnership also aligns with our mandate of investing in founder-led businesses with high growth potential,” Lee said.
Founded in 1980, Hi-P provides advanced manufacturing and production, and assembly, testing and packaging services to a multinational customer base, including consumer goods and electronics, e-commerce, and electric automotive companies such as Amazon, Apple, Colgate-Palmolive, Dyson, Keurig Dr Pepper, Logitech, Meta, Motorola Solutions, Procter & Gamble, Seagate and Tesla.
Since its privatisation and delisting from the Singapore Exchange in 2021, Hi-P has achieved healthy growth, from $1.18 billion in revenue that year, to a projected revenue of over $1.48 billion in 2024. It has also expanded its manufacturing footprint into the Philippines, Malaysia, Vietnam and India.