US-based venture capital firm and accelerator 500 Startups has increased the size of its Japan fund, which includes several corporate limited partners, to $35m, TechCrunch has reported.
The fund’s LPs include imaging product maker Nikon, social media company Mixi, property developer Mitsubishi Estate and financial services firm Mizuho Bank. The Japanese state-owned Cool Japan Fund (CJF) is the fund’s largest backer, having provided $10m.
Founded in 2010, 500 Startups oversees a network of global seed and early-stage funds, and has about $350m committed across a total of four main funds and 13 microfunds.
500 Startups Japan, which is oversubscribed from its $30m target, has so far backed 21 portfolio companies, including online lender Credit Engine, shipping services provider Circle-In and human resources management tool developer Smart HR.
The fund generally provides between $100,000 and $500,000 per deal but could stretch to $1m for special cases, partner James Riney told TechCrunch, and CJF could invest at later stages.
Riney said: “We will be sourcing and supporting startups at the seed stage, and inviting CJF to look at later $10m to $20m rounds to give startups the firing power to expand.
“CJF has capital to invest outside of Japan but doesn’t necessary have the network. We have been extremely aggressive expanding outside of the US.
“No matter where they want to expand to, we have someone locally who is well connected to help them hit the ground running.”