A State-backed startup fund for Japan: JIC Group
Japan Investment Corporation (JIC) was set up in 2020 to take over from the Innovation Network Corporation of Japan (INCJ), established in July 2009 as a public-private partnership between the Government of Japan and 19 of Japan's largest industrial conglomerates.
- At the time of INCJ's founding, the Japanese economy was facing a variety of unprecedented changes on a global scale requiring a radical transformation of the country's industrial structure without being restricted by the existing industry and corporate boundaries.
- In 2020, JIC took over INCJ's mandate. INCJ became a subsidiary within the newly-established JIC group, managing investments and commitments made in the period 2009-2019, and focussing on open innovation.
- JIC's mandate was expanded to cover new domains, investment areas and formats.
JIC Group overview:
- JIC (Group) invests in funds based on three criteria: policy issue resolution, areas lacking private investment, and the ability to execute investment strategies. It invests in funds established under its control, primarily through two subsidiaries:
JIC Venture Growth Investments (JIC VGI) : Focused on growth-stage startups. Its mission statement reads:
JIC VGI was established as a venture capital firm of the JIC Group to carry out investment support activities for startup companies. In line with the government's industrial policy, we are proceeding with investment activities targeting venture companies in all industrial fields, including deep tech and life sciences, which require patient risk money from the early stage to aftermarket. - JIC Private Equity (JIC PE), or JIC Capital : Focused on buyouts and large growth investments. Its mission statement reads:
JIC Capital aims to supply risk capital to achieve policy objectives of creating new businesses and industries to realize Society 5.0, promoting business portfolio transformation for enhancing the international competitiveness, and establishing next-generation social infrastructure to promote Digital Transformation (“DX”). - JIC also invests directly in specific funds or companies according to its strategic orientations and industries, subject to the scope of its mandate.
