Japan-based digital consulting agency Monstar Lab raised ¥4.2bn ($39.8m) of equity and debt financing on Friday from investors including corporates Dentsu, Japan Post, Serverworks and Skylight Consulting.
Financial services firms Shimane Central Shinkin Bank and Fukuoka Financial Group also contributed to the round, the latter through its FFG Venture Business Partners subsidiary, as did investment group Alpha Al Imteyaz.
Cloud integration software provider Serverworks and management consulting firm Skylight Consulting took part in the round directly. Dentsu Innovation Partners’ Dentsu Digital Fund and Japan Post Capital invested on behalf of marketing firm Dentsu and postal service Japan Post.
Founded in 2006, Monstar Lab provides product development and consulting services and technology such as co-working spaces, robotic process automation, human resources software and professional training schemes.
The cash will be used to improve its digital consulting business and boost its marketing and product development efforts.
Internet company Digital Garage subsidiary DG Incubation participated in a $22m round for the company in February 2019, investing with management consultancy SigmaXYZ, financial services firm San-In Godo Bank and venture capital firm Fenox Venture Capital.
San-In Godo had backed a $2m round for Monstar in November 2017 that included Shimane Central Shinkin Bank, according to The Bridge.
The deal came three months after a $6.3m round backed by Fenox, internet company Yahoo Japan’s YJ Capital fund, media company San-In Chuo Television Broadcasting, construction firm Tanabe, Shinsei Bank’s Shinsei Corporate Investment subsidiary and unnamed returning backers.
Monstar had received $2.3m from Gogin Capital and Resona Capital, subsidiaries of San-in Godo and financial services firm Resona Holdings, in 2016, after $3.3m in funding from DG Incubation and recruitment firm Pasona Group’s Pasona Tech unit the year before.
The company had previously received $1.2m in a 2014 round that included SMBC Venture Capital and Mitsubishi UFJ Capital, on behalf of financial services providers Sumitomo Mitsui Banking Corporation and Mitsubishi UFJ, in addition to VC firm East Ventures.
