ARM Holdings, a semiconductor manufacturing subsidiary of telecom and internet group SoftBank, has joined forces with several state-backed entities to form a China-based venture capital fund, China Money Network reported on Friday.
Hou An Innovation Fund is targeting an $800m fundraise, according to an announcement on the website of Chinese government agency Ministry of Science and Technology.
The fund will invest in companies developing technologies including mobile internet, internet-of-things and artificial intelligence across the world.
ARM, which was acquired by SoftBank for $31bn in September 2016, will manage the fund in partnership with private equity firm Hopu Investment Management, making use of its international industrial ecosystem and resources in the process.
The fund’s other limited partners include Shum Yip Group, a conglomerate owned by the city of Shenzhen’s municipal government, as well as Chinese state-owned funds China Investment Corporation and Silk Road Fund, and Singaporean state-owned firm Temasek.