FastGo and LOGIVAN to receive first investment from VinaCapital's 100 million tech fund

By Nguyen Anh - Sep 03, 2018 | 08:21 AM GMT+7

TheLEADERVinaCapital has just launched a $100 million tech-focused venture capital fund, aiming to help fledgling startups and small and medium sized enterprises in the technology field, of which FastGo and LOGIVAN, two startups on technology solutions in the field of transportation will be its very first investment.

FastGo and LOGIVAN to receive first investment from VinaCapital's 100 million tech fund
VinaCapital announces a $100 million tech-focused venture capital fund

VinaCapital, one of Vietnam’s leading investment management and real estate development firms, has officially established VinaCapital Ventures, a $100 million venture capital fund, which manages the money of investors who seek private equity stakes in tech-focused startup and SMEs with strong growth potential.

In line with VinaCapital’s strategy to invest in technology companies Vietnam in the last ten years, VinaCapital Ventures will allow the group to capitalize on new chances in Vietnam’s fast-rising technology industry.

Since 2006, VinaCapital has developed an investment strategy, which focuses on the cultivation of great ideas based on technology trends that have enormous implications.

According to the company, VinaCapital Ventures will provide each company with $2 million to $10 million with an unlimited holding time.

Thus, the formation of VinaCapital Ventures helps facilitate the work with engineers, scientists and innovators to create solutions for challenging issues in different fields, thereby encouraging customers to embrace the new technologies.

“While manufacturing and property get most of the attention and investment in Vietnam, tech – and startups in particular – hold the greatest promise for the country,” said Don Lam, VinaCapital Co-founder and CEO.

He added: “Technology is playing a transformative role in all manufacturing and service sectors and will drive Vietnam’s economy forward. That’s why venture capital, including supporting startups and entrepreneurs, has been a key part of VinaCapital’s business for the past 15 years.”

“With VinaCapital Ventures, we look forward to working with founders to bring Vietnamese technology products to the regional market and contribute to Vietnam’s socioeconomic sustainable development,” he said.

VinaCapital Ventures has also announced its first two investments in two startups on technology solutions in the field of transportation in Vietnam including LOGIVAN and FastGo.

In particular, LOGIVAN is considered to be the company that offers technology solutions which help optimize the cost of road freight transportation by systematizing data usage, boosting high-quality supply and demand linkages to improve the efficiency of vehicles usage, thereby reducing logistics costs for service users.

FastGo is a ride-hailing mobile application developed by Vietnamese engineers, which offers advantages for both drivers and customers. Since its launch in June 2018, FastGo has been rapidly growing and currently has the second largest market share of ride hailing applications in Vietnam.

In the same day, VinaCapital also announced its $25 million investment in TMMC Healthcare, a health service provider, through VinaCapital Vietnam Opportunity Fund Ltd, a closed-ended fund of Vinacapital.

The investment will be used to expand various departments and enhance the medical facilities of TMMC Healthcare in the future.

According to Andy Ho, chief investment officer of VinaCapital, Vietnamese spent over $2 billion on medical treatment overseas annually. Hence, this investment offers the opportunity to develop a higher quality medical services in the country.