Philippines-based telecommunications company Philippine Long Distance Telephone Company (PLDT) has launched a corporate venturing unit in California called PLDT Capital, Tech in Asia reported on Wednesday.
PLDT Capital, which is headquartered in Los Angeles County, expects to invest $50m in startup companies in 2015 alone and will target “mobile engagement platforms, content, mobile commerce and digital services,” managing director Winston Damarillo told Tech in Asia.
Damarillo, also PLDT’s chief strategy officer, added: “The allotment is for Silicon Valley companies and other companies overseas. That means, if we find good companies in LA, for example, we will invest in them or form joint ventures with them.”
PLDT will form the joint ventures through subsidiaries such as mobile network Smart Communications, digital infrastructure division ePLDT, digital media unit Digital5 or digital technology developer Voyager Innovations.
PLDT Capital will also look to act as a bridge between the Philippines and Silicon Valley, and plans to reveal its first US-based investment next week.
“The benefits are two-way,” Damarillo said. “We will invest and allow access to the PLDT group’s customers and services and in exchange, we want [the portfolio companies] to bring their technology and talent here in the Philippines. We want our Filipino entrepreneurs to gain expertise and become world class.”
The formation of PLDT Capital follows two substantial investments made by PLDT over the past 18 months.
The company paid $446m for a 10% stake in Germany-based e-commerce group Rocket Internet in August 2014 before leading a $30m early-stage round for Malaysia-based video streaming platform iFlix in April this year.