Vingroup’s new venture arm to invest $50m in SEA tech firms

Photo credit: Vingroup

Vingroup, the largest private conglomerate in Vietnam, has launched a US$150 million fund to invest in tech startups in the country. It aims to extend its reach to companies in regional markets, including Singapore, Indonesia, and the Philippines.

Named VinVentures, the fund is set to disburse US$50 million in the next three to five years, focusing on investments in early-stage companies in sectors such as AI, semiconductors, and cloud computing.

The other US$100 million comprises assets that VinVentures inherited from Vingroup’s previous investments, according to the group.

VinVentures’s portfolio now includes seven startups, as indicated on the fund’s official website. Six of them are providers of solutions in the e-mobility field.

The move shows a renewed momentum of Vingroup’s interest in emerging technology startups, following a period of heightened focus on the electric vehicle sector with its carmaker, VinFast.

“Investing in technology startups has consistently been a strategic priority for Vingroup as it transitions into Vietnam’s leading technology conglomerate,” the group said.

So far, Vingroup’s biggest tech unit, VinFast, has attained a certain success on its home turf with its leading monthly EV deliveries of over 9,300 units in September. It outperformed other well-established competitors in the local market that month.

However, the Nasdaq-listed EV maker is still in the red, with bigger losses reported for the second quarter due to rising overseas costs to boost sales.

Earlier this month, The Business Times reported that Vingroup had been in talks to sell its stakes in its two AI-focused flagship companies, VinBrain and VinAI. As of June, the group held 49.74% and 65% of equity interest in these firms, respectively.

See also: Vingroup to sell stakes in its AI firms: sources