Mitsubishi UFJ Financial Group Inc. plans to start two debt funds alongside Liquidity Capital with as much as $400 million to provide financing for middle- and later stage startups in Japan and Europe.
(Bloomberg) — Mitsubishi UFJ Financial Group Inc. plans to start two debt funds alongside Liquidity Capital with as much as $400 million to provide financing for middle- and later stage startups in Japan and Europe.
The funds will be established under Mars Growth Capital Pte., a joint venture between Japan’s largest bank and the Israeli tech lender, the companies said in a statement. The Japan fund will have a maximum of 20 billion yen ($148 million) and the European fund up to $250 million, they said.
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The move is the latest by Japan’s biggest banks to ramp up startup finance, where they increasingly see potential for new business.Â
Mars Growth Capital, based in Singapore, started in 2021 and has been providing debt finance to startups in Asia and elsewhere.Â
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The companies said they decided to launch a debt fund in Europe after receiving interest from companies in the region. MUFG said it will also seek to provide startup companies in Europe with initial public offering advice through its alliance with Morgan Stanley.
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