Equity Participation in Fund that Invests in Advanced IT Companies mainly in Silicon Valley
Supporting Japanese Companies in Strengthening International Competitiveness through Investments in Venture Capital Funds
- Region: North America
- Equity Participations
The Japan Bank for International Cooperation (JBIC; Governor: Akira Kondoh) signed an agreement on March 20 for equity participation in the Geodesic Capital Fund I-S, L.P. ("the Fund"), a venture capital fund managed by Geodesic Capital Partners, L.P. ("Geodesic Capital"), established in Cayman Islands.
The Fund is a supplemental fund of Geodesic Capital Fund I, L.P. established in 2015 to invest in advanced IT companies mainly in the United States. The Fund receives investments from JBIC, Hitachi, Ltd., Nikon Corporation, etc.
Japanese companies are responding to the Fourth Industrial Revolution*1
by creating new added value through open innovation, combining the external resources and the company's internal strength in technology and experience. The aim of the Fund, where Japanese companies participate as strategic investors, is not only to invest in advanced IT companies mainly in the United States but also to provide those Japanese investors with strategic services, such as offering opportunities to form business alliances with advanced IT companies. Japanese investors may also find opportunities to invest in leading IT companies as a result of the relationship. The participation of JBIC in the Fund is expected to contribute to maintaining and strengthening the international competitiveness of Japanese companies.
As Japan's policy-based financial institution, JBIC will continue to proactively support Japanese industries in maintaining and strengthening their international competitiveness by utilizing various equity financing tools such as equity participation and investment in PE funds.
The Fourth Industrial Revolution refers to technological innovation such as IoT (Internet of Things), big data, robotics and AI (artificial intelligence).