China online media group Tencent has committed RMB700m ($110m) to an incubation fund operated by Innovation Works after investing $50m in local online footwear retailer OKbuy’s series C round.
Innovation Works has raised $115m from the founders of Foxconn Technology Group, Lenovo Group, Oriental Education & Technology Group and YouTube since launching two years ago by Kaifu Lee, the ex-president of Google China. It has invested RMB200m in 35 projects since 2009.
Martin Lau, president of Tencent, said: "Tencent and Innovation Works will collaborate to provide an open and supportive environment for internet startups to foster growth and creative development."
Tencent set up a RMB5bn corporate venturing and acquisition fund at the start of the year and its recent deals include OKbuy, which has now raised $80m since launching including money from Intel Capital, RMB450m in Huayi Bros Media Group and $84m in online travel service provider eLong.
In April last year, Tencent, which in turn had received corporate venturing backing from South Africa-based media group Naspers, invested $300m to acquire a stake in Digital Sky Technologies, a Russian internet investment firm that owns 5% of social media platform Facebook.