Cambodia: The Next Frontier For Private Equity?

The Wall Street Journal recently reported that 22 private equity fund managers visited Cambodia in May to scope out potential investment opportunities. However, given Cambodia's reputation as a frontier emerging market with weak business laws and corruption, finding enough suitable investments to absorb several hundred million dollars may prove to be a challenge. Nevertheless, Leopard Capital is seeking to raise US$100 million for its Leopard Cambodia Fund. The fund will seek out small and medium sized investments in a broad range of sectors such as financial services, infrastructure development, agro-industry, health care, tourism, human resource development, hotels, and property. Meanwhile, the Cambodia Emerald Fund which split from Leopard in 2007, is also aiming to raise US$100 million.