Several corporates are among the limited partners that have contributed to the first close of a fund being raised by Japan-based investment firm Real Tech Holdings with an ¥8bn ($74.3m) target.
Real Tech Fund III Investment Business Limited Liability Partnership’s LPs include metal parts producer Kobayashi Industries, air conditioner manufacturer Daikin Industries, financial services firms Hamamatsu Iwata Shinkin Bank, Mizuho Bank, Senshu Ikeda Bank and Sumitomo Mitsui Banking Corporation, and brokerage SMBC Nikko Securities.
Real Tech Fund was formed in 2015 as a joint venture for biofuel supplier Euglena, research firm Leave a Nest and investment firm SMBC Nikko.
The firm’s areas of focus include agricultural, biological, medical and space technologies which are fuelled by innovations in artificial intelligence, robotics and the internet of things.
The fund, also known as Glocal Deep Tech Fund, is seeking additional capital from entities such as corporations, regional banks, local government agencies and universities in a bid to build technology ecosystems in different parts of Japan.
Real Tech Fund had already been scouting talent and technologies based outside Japan’s capital city of Tokyo through Tech Planter, a joint initiative with Leave a Nest, having partnered 605 startups in 11 Japanese administrative divisions.
The firm intends to incubate local startups through the networks of allies such as Senshu Ikeda Bank and Hamamatsu Iwata Shinkin Bank, which are headquartered in the cities of Osaka and Hamamatsu respectively.
In addition to its financial contribution to the fund, Kobayashi Industries will offer entrepreneurs access its know-how concerning product manufacturing, logistics and quality assurance.
