Jul 13, 2023

Temasek's VC arm Vertex raises $900M in first round of new fund, plans to close in "coming months", says CEO Vertex Venture Holdings , the venture capital arm of Singapore’s state investor Temasek Holdings, has raised over $900 million from its investors in the first fundraising round for its latest for its latest fund as it plans to close the fund in “coming months”, its chief executive said. “To date, Vertex Holdings has raised over $900 million from investors. Vertex Holdings will continue our Vertex Master Fund III fundraising efforts and plans to close the fund in coming months,” Vertex Holdings CEO Chua Kee Lock told TechNode Global in an email response. Vertex Master Fund III was set up by Vertex Holdings to provide Japanese investors diversified exposure to key innovation hubs globally by investing into its Vertex family of funds, he said. “The Vertex network of funds invests in early-stage technology opportunities through Vertex Ventures, early-stage healthcare opportunities through Vertex Ventures HC, and growth stage opportunities through Vertex Growth. Each Vertex fund operates independently, with separate local teams that raise and manage their respective funds,” he added. Nikkei Asia first published the story on Tuesday. According to the report, the Vertex Master Fund III, set up in 2021, closed its first round at the end of June, Chua told Nikkei Asia. Its total fundraising target of $1 billion is slated to be reached “in coming months,” he said. The fundraising for the Master Fund III came amid a tougher business environment for regional VC firms due to rising interest rates and a slower economy. Its predecessor fund raised $730 million in 2019, the report noted. Among the latest fundraising, a total of $80 million came from four Japanese investors — Marubeni, the Development Bank of Japan, Risa Partners, an investment firm owned by leasing company NEC Capital Solutions, and an institutional investor, Nikkei Asia reported. Vertex has a portfolio of over 300 companies globally as of the end of March. Other notable portfolio companies include unicorns intellectual property tech PatSnap and cross-border payment firm Nium, according to Nikkei Asia‘s report. Vertex entered Japan in 2020 and its growth capital fund last year invested in Tokyo-based AI startup Alt, its first portfolio company in the country, the report added. Singapore-based Vertex is a venture capital investment holding company that provides anchor funding and operational support to a proprietary global network of venture capital funds. Currently, there are six funds in the network, namely: Vertex Ventures China, Vertex Ventures Israel, Vertex Ventures SEA & India, Vertex Ventures US, Vertex Ventures HC and Vertex Growth. The Vertex network of funds invests in early stage technology opportunities through Vertex Ventures, early stage healthcare opportunities through Vertex Ventures HC, and growth stage opportunities through Vertex Growth. Each Vertex fund operates independently, with separate local teams that raise and manage their respective funds, according to its website.