WHAT WE DO
The Jati Sejati rescue fund was launched to capitalise on distressed opportunities. We target companies who typically do not qualify for bank loans and avoid ‘loan-to-own’ hedge fund lenders. Our flexible rescue fund enables us to take robust positions in companies, navigate and scale up through challenging times, and reap the benefits over time.
Our motto is: 'be brave when others are fearful.'
We invest in situations where other investors fear to tread. We are not scared of suing or being sued. We dive into complex situations by taking robust positions in companies which are in substantial distress and provide solutions for companies facing difficult challenges.
Rescue financing is a highly untapped area where messy and complex situations provide attractive entry prices and investor returns. We are familiar with litigation and insolvency proceedings in the jurisdictions we operate in.
We invest in distressed situations with the aim of rescuing businesses though critical litigation funding or longer-term credit support.
We are experienced in filing penundaan kewajiban pembayaran utang (PKPU) or suspension of payments proceedings in Indonesia as well as supporting Singapore scheme of arrangements. We enforce security through avenues open to us.
TO OUR INVESTORS
We seek to finance debt and non-control equity in companies undergoing distress. We aim to enhance enterprise value through our proprietary approach which enables us to make informed decisions rapidly and invest in a range of special or distressed situations.
We invest by deploying capital with an emphasis on flexibility. This flexibility provides leg room for companies to meet and overcome its obstacles. It empowers them to improve cash flows, reduce leverage, and return to suitable level of corporate health required to sustain the business. This in turn provides attractive returns to our investors.
Our ultimate objective is to maximize the value of our investors.
TO INVESTEES
We seek to partner with our investees and their stakeholders as they evaluate initiatives to return to appropriate level of corporate health. Our team conducts thorough diligence to gain insight into distressed situations, the investee’s needs, and dynamics of the investment’s ecosystem. We employ a flexible capital approach to provide investees with highly flexible, structured capital to support the investees’ business.
In case restructuring is necessary, we seek to work closely with our network and investees to effectively navigate through the proceedings and minimize the impact to the business.
Our ultimate objective is to rescue companies in distressed situations. Our fund provides the opportunity for investees to increase liquidity and enhance value.
Given our long-term capital solutions, we may continue to support investees’ as they transition from a distressed situation into a sustainable and profitable business. We also provide growth capital for M&A, capex, new product, or service line, among others.
TO NPL SELLERS
We acquire distressed debts and work through complex assets by leveraging our expertise on litigation and insolvency proceedings.
Our recent experience involved acquiring NPL from a Hong Kong based bank who had lent a substantial amount to PT Sidomulyo Selaras (SDMU). We filed for PKPU in Indonesia with another lender. The PKPU required SMDU to engage with us to prevent bankruptcy.