ALPHA, a venture capital firm targeting emerging companies based in Shibuya, will launch its first fund totaling 20 billion yen in July. ALPHA will invest up to 2 billion yen each in a maximum of 30 companies over five years in areas strong in Japan, such as animation, healthcare, and labor-saving technologies. Funds will also be allocated for mergers and acquisitions, as well as overseas expansion.

More than 10 financial institutions—including Mitsui Sumitomo-affiliated AI Capital, Mitsui Sumitomo Trust Bank, and Mizuho Bank—will initially contribute 100 billion yen, aiming to double the amount by the end of the year.

It is unusual for major banks to make large investments in a new fund with no track record. However, amid a 60% year-on-year decline in domestic VC funding in 2024, major institutional investors are strengthening their supply of risk capital in line with the Financial Services Agency's Emerging Managers Program.

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