Vietnam’s Vingroup has announced a US$150 million fund, named VinVentures, aimed at investing in technology start-ups across Southeast Asia, with an initial focus on artificial intelligence, semiconductors, and cloud computing. The fund will prioritize Vietnamese start-ups before extending to other Southeast Asian markets, including Singapore, Indonesia, and the Philippines, according to an emailed company statement.
The conglomerate, led by founder Pham Nhat Vuong—Vietnam’s wealthiest individual—will finance VinVentures with US$100 million from its previous investment portfolio. An additional US$50 million will be incrementally contributed by Vuong from his personal wealth, the statement revealed. Vingroup emphasized that tech start-up investment is now a “strategic priority” in its shift towards becoming a technology-focused conglomerate. The company has previously invested in tech start-ups via its Vingroup Ventures and VinTech City funds.
Though known for its real estate arm, Vinhomes JSC, Vingroup is also the parent company of EV manufacturer VinFast Auto Ltd. The announcement comes as Vietnam’s start-up sector experiences fluctuating investment levels. According to a Google, Temasek, and Bain & Co. report, the country attracted a record US$2.6 billion in 2021, up from US$700 million in 2020. However, a separate report by Do Ventures and the Vietnam National Innovation Center indicated a significant drop last year, with total funding decreasing to US$529 million, placing Vietnam third among Southeast Asian nations for start-up capital investment.
Featured image courtesy of BNN Bloomberg
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