Global Brain partners with SMBC Group on its JPY 30 billion “SMBC-GB Growth Fund”

Global Brain Corporation (Global Brain), Sumitomo Mitsui Banking Corporation (SMBC), and SMBC Venture Capital Management Co., Ltd. (SMBC VCM) will jointly establish JPY 30 billion “SMBC-GB Growth Fund” to enhance its capabilities to invest in promising startups that will underpin future economic growth in Japan.

While many startups are being founded in Japan, the number of unicorns (unlisted companies valued at over JPY 100 billion) remains low compared to the United States and Europe.

Due to the recent startup recession, overseas startup investment has been decreasing in deal count and value since its peak in Q4 2021. The impact is particularly significant at later stages, with down-round IPOs occurring, creating a challenging environment for startups to raise funds. In Japan, however, VC deal value has not significantly declined since 2022, demonstrating a different trend from that in other regions. Global Brain sees the current situation as a unique opportunity for Japanese startups and VCs to bring more Japanese startups to a global unicorn status. We are committed to vigorously investing in new startups with potential to innovate the next generation of business.

Under such circumstances, Global Brain, working hand in hand with SMBC Group— one of the leading megabanks in Japan—, will set up a JPY 30 billion growth fund to enhance our robust support structure which is one of the most extensive in Japan. With our track record of supporting startups spanning from seed to growth stages, Global Brain will invest billions of yen in startups that seek to make a strong impact on the Japanese economy and further back them to become unicorns.