Japan's Mizuho Bank to form SME-focused fund by year end
Mizuho Bank, Japan’s third largest lender, will form an SME-focused private equity fund by the end of this year with a initial size of around JPY10 billion ($122 million).
Mizuho Bank plans to inject JPY3 billion ($36.7 million), with another JPY7 billion ($85.6 million) expected to be raised from third-party investors such as life insurers, corporates and other institutions. The fund will invest about JPY1 billion ($12.2 million) per deal, buying preferred stock, subordinated loans and other assets, and will target industries including manufacturing and services, as well as other segments.
While the Emergency Security System managed by the state-run Small to Medium Enterprise Agency as a policy instrument fully supports loan payments by SMEs, the scheme is slated to end at the end of March 2011, SME-focused funds are commonly backed by regional banks in Japan. The duration of Mizuho’s fund would reportedly be until the end of 2015.
Further reading
More on Fundraising
Latest News
Asian GPs slow implementation of ESG policies - survey
Asia-based private equity firms are assigning more dedicated resources to environment, social, and governance (ESG) programmes, but policy changes have slowed in the past 12 months, in part due to concerns raised internally and by LPs, according to a...
Singapore fintech start-up LXA gets $10m seed round
New Enterprise Associates (NEA) has led a USD 10m seed round for Singapore’s LXA, a financial technology start-up launched by a former Asia senior executive at The Blackstone Group.
India's InCred announces $60m round, claims unicorn status
Indian non-bank lender InCred Financial Services said it has received INR 5bn (USD 60m) at a valuation of at least USD 1bn from unnamed investors including “a global private equity fund.”
Insight leads $50m round for Australia's Roller
Insight Partners has led a USD 50m round for Australia’s Roller, a venue management software provider specializing in family fun parks.