By The Nation
InnoSpace (Thailand), a state-backed venture capital firm, on Monday (September 9) mobilised initial funding worth Bt515 million for local start-ups.
Deputy Prime Minister Somkid Jatusripitak, who chaired the signing ceremony, said Thailand requires many start-ups to drive the economy, and cannot just rely on a few hundred large companies. In the new digital era, countries like South Korea, Japan and Israel have successfully created many start-ups, which apply cutting-edge technology to their businesses.
Thai start-ups in comparison have faced many limitations, which is why the government should create a conducive environment by creating an Eastern Economic Corridor (EEC) project to support the new S-curve industries, he said.
Meanwhile, Tevin Vongvanich, chair of InnoSpace (Thailand)’s advisory committee, said the capital fund could be used to support start-ups until they reach unicorn status or are worth US$1 billion (Bt30.62 billion). Singapore, Malaysia and Indonesia already have several start-ups with unicorn status.
InnoSpace has secured 13 partners comprising banks and companies that have agreed to provide seed money, including Bangkok Bank, Kasikornbank, Siam Commercial bank, state-owned Krungthai Bank, the state-owned Small and Medium-Enterprise Development Bank of Thailand, PTT, Thai Beverage, CP Group, True Corporation, Sahapat Group, Bangkok Dusit Medical Services, Thai Union Group and Bangkok Airways.
Another seven potential partners are planning to invest, he said.