Vertex Ventures Japan (VVJ) has launched a substantial new investment fund, Vertex Ventures Japan Fund I, with a capital of JPY 10 billion. This fund, anchored by Vertex Holdings, aims to drive growth in Japanese startups focusing on Deeptech, Digital Transformation (DX), AI, and the creator economy.
Fund aims to leverage global networks for local innovation
VVJ’s new fund plans to invest in Japanese startups that demonstrate high growth potential and are led by competent management teams. These startups are expected to benefit from the resilient growth drivers within their sectors. VVJ, having established itself to capitalise on early-stage investment opportunities in Japan, follows the successful model of its sister funds located in major innovation centres such as China, Israel, Southeast Asia & India, and the United States. Each of these funds operates independently, focusing on specific investment targets within their geographical areas.
As part of the Vertex global network, VVJ will collaborate extensively with its international partners to enhance its investment strategies and opportunities. This collaboration was highlighted during a significant announcement made on May 16, 2024, at the University of Tokyo. Here, Vertex Holdings committed to fostering human resource development and research cooperation with the University of Tokyo and UTokyo IPC, aiming to bolster the startup ecosystems in both Japan and Singapore.
Strategic partnerships to fortify Japan-Singapore ties
The collaboration also includes strategic involvement from the Ministry of Economy, Trade and Industry (METI), which regards the initiative as a cornerstone of the “Japan-Singapore Co-Creation Platform”. This platform was agreed upon during the Japan-Singapore Public-Private Economic Dialogue on April 17, 2024. VVJ believes that by working closely with METI, it will establish a platform that encourages cross-border collaboration between industry, academia, and government, thus fostering innovation and technological advancement while providing pathways to global markets.
Chua Kee Lock, CEO of Vertex Holdings, expressed his optimism about the prospects of technology companies in Japan. “The startup ecosystem in Japan is a vibrant and dynamic one which presents many opportunities for growth. We believe in the strong market potential of technology companies in Japan such as in the areas of Deeptech, Digital Transformation (DX), AI and the creator economy,” he said. The fund will be managed by Takashi Tomita and Tomohiro Miyasaka, seasoned professionals tasked with sourcing new investment opportunities and managing strategic growth efforts.
A vision for global impact
Takashi Tomita, Managing Partner of VVJ, emphasised the global aspirations of the fund. ““We are proud to be part of the global Vertex family of venture capital funds. We believe this will set us apart in Japan, as it will give us both the market depth and global scale required to attract and support Japanese entrepreneurs in their overseas funding and growth ambitions,” he stated. Tomita also highlighted Japan’s position as the third-largest country for international patent applications, which he sees as a testament to the innovative capabilities of Japanese companies.
Tomita envisions VVJ as an innovation platform that facilitates collaborations among companies, universities, and government bodies to accelerate startup growth and create future industry leaders.