After closing its second fund on growth-stage medtech startups at S$50 million (about Us$33 million) last year, Singapore-based private investment and venture capital firm Venturecraft is now looking to raise up to US$500 million for its third fund by Q1 2018.
The fundraising for this third vehicle has already started and even received backing from a large Southeast Asian entity for a significant part of its target amount. The fund if successful, will also become the largest Southeast Asian private fund which doubles the size of other large vehicles.
Much like its previous funds, Venturecraft III will also target startups in the healthcare and medtech sectors, as well as biotechnology and biopharmaceutical firms.
Investment capacity, for each startup, will also be bigger within a range of about US$10 to US$50 million to satisfy the requirements for biotechnology and biopharmaceutical firms.
Another criteria for investment, however, is that the startup will look for healthcare and medtech companies which are looking to expand their operations into Asia, and make Singapore their local base to target this region.
With Singapore investing heavily in R&D during the last decade, Venturecraft is also aiming to ride the next phase when biotechnology and biopharmaceutical startups from the city-state and its universities look at commercialization and taking their products to the market.
After it has hit the final close for its $500 million vehicle, Venturecraft is also looking to structure itself as an investment holding firm instead of a venture capital firm.
Venturecraft started out managing the wealth of several high-net-worth individuals. The firm later evolved into an entity focusing on helping companies to expand into Asia, especially China and Taiwan as it starts making investments in startups from these regions.
Its Limited Partners (LP) base mostly consist of Chinese billionaires and technopreneurs who rode the internet boom in Asia’s largest economy, as well as leading business men from traditional sectors looking to gain a foothold in tech.
Since its launch in 2015, Venturecraft Group has invested in medtech ventures including AIM Biotech, Attonics Systems, and Glissade Dental.