RVC, the Russian state-owned fund of funds dedicated to innovation, is teaming up with Japanese corporation Mizuho to create a investment fund dedicated to medical technologies. The news was reported Thursday by news agency TASS, based on an exchange with RVC’s general manager Alexander Povalko at the Eastern Economic Forum in Vladivostok.
Povalko added that the parties are looking for third parties to join their initiative, since RVC and Mizuho do not intend to own more than 25-30% of the fund each.
The fund could be launched in 2020. Povalko cited “digital hospitals” – with a centralized digital process management system – as an example of target projects for the fund.
Giant tech center in the Moscow region
Almost simultaneously at the forum, the Russian sovereign fund RDIF, Japan’s Marubeni Corporation, AEON Infrastructure Corporation and the Government of the Moscow Region announced an agreement to “realize joint investment projects.” One of the considered projects is the construction of a Russian-Japanese technology center in the Moscow region.
“At least 50 billion rubles [around $760 million] is expected to be invested in the technology center, [which] is expected to create over 5,000 jobs,” the RDIF stated. Dubbed ‘Shere Expo,’ this venue will include an exhibition and retail space, a hotel, a congress center, recreation areas along with the required transport infrastructure.
Growing business ties
The past few years saw several moves on the Russian-Japanese tech and venture scene, including notably the following:
- In April 2019, Russian and Japanese tech players and investors launched a dedicated business association;
- 2018 Skolkovo, the international tech hub on the outskirt of Moscow, signed a memorandum of understanding with Japan’s IoT Acceleration Consortium;
- In 2017 and 2018, through two rounds of funding, Japanese fund SBI FinTech Business Innovation Fund LPS committed itself to invest $50 million in SimpleFinance, a Russian online micro-lending platform;
- In 2017, the Russian Direct Investment Fund (RDIF) and Japan Bank for International Cooperation (JBIC) announced a joint $1 billion fund to invest in healthcare, industrial and tech projects;
- In 2016-2017, Mitsui & Co invested repeatedly in Moscow-based food delivery startup Chefmarket.ru.
