Tokyo, Jan. 7 (Jiji Press)–Mizuho Financial Group Inc. <8411> has established an investment fund for startups in the life science field.
Mizuho Bank and Mizuho Capital Co., both units of the major Japanese financial group, will invest a total of 5 billion yen for the new fund, the group announced on Monday.
The investment fund will support companies that aim to develop new drugs and medical technologies at a time when the medicine market is expanding in line with the aging of society and technical innovations.
The fund is expected to invest in companies doing fundamental research on medicines that require pharmaceutical approval.
It will invest between 300 million yen and 500 million yen for up to 12 years per company in cooperation with medical consultants who have knowledge on life science, according to Mizuho Financial Group.
Even after the fund’s investment projects are over, Mizuho group companies will continue their support according to the stages of development, such as the clinical phase.
Mizuho Financial Group have been pouring funds into companies through investment funds but had been facing difficulty stepping up investments in medical startups due to significant amounts of time and costs required to win pharmaceutical approval. The group thus decided to set up the fund specializing in the life science field with growth potential.