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Japan’s Gree Ventures targets $65 million for new fund, eyes opportunities in India

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See the original story in Japanese. Gree Ventures, the investment arm of Tokyo-based online gaming company Gree (TSE:3632), announced today that it has formed a new fund called AT-II Limited Investment Partnership. By the time of the first close, about 4 billion yen (about $37 million) had been committed as investment from Gree and Mizuho Financial Group, plus major Japanese companies and financial institutions, but the firm is expecting to reach about 7 billion yen ($64.5 million) by the end of this year. As for which sectors to invest in, they will follow the scope of the previous fund, keeping the focus on seed- to early-stage B2B (business-to-business) or B2B2C (business-to-business-to-consumer) startups. However, they will begin investing in startups in India with the new fund in addition to their conventional geographical coverage of Japan and Southeast Asia. Gree Ventures CEO Yusuke Amano told The Bridge that the firm aims to invest 100 to 300 million yen respectively into an individual company as a lead investor, while offering their investees hands-on support including helping fulfill personnel needs and developing new accounts. Gree Ventures recently invested in two Japanese startups, Sorabito and Ookami, from the new fund but how much these deals…

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From the left: Gree Ventures CEO and partner Yusuke Amano, partner Tatsuki Tsutsumi

See the original story in Japanese.

Gree Ventures, the investment arm of Tokyo-based online gaming company Gree (TSE:3632), announced today that it has formed a new fund called AT-II Limited Investment Partnership. By the time of the first close, about 4 billion yen (about $37 million) had been committed as investment from Gree and Mizuho Financial Group, plus major Japanese companies and financial institutions, but the firm is expecting to reach about 7 billion yen ($64.5 million) by the end of this year.

As for which sectors to invest in, they will follow the scope of the previous fund, keeping the focus on seed- to early-stage B2B (business-to-business) or B2B2C (business-to-business-to-consumer) startups. However, they will begin investing in startups in India with the new fund in addition to their conventional geographical coverage of Japan and Southeast Asia. Gree Ventures CEO Yusuke Amano told The Bridge that the firm aims to invest 100 to 300 million yen respectively into an individual company as a lead investor, while offering their investees hands-on support including helping fulfill personnel needs and developing new accounts.

Gree Ventures recently invested in two Japanese startups, Sorabito and Ookami, from the new fund but how much these deals were have not been stated. Regarding expected regional allocation of investments, Amano says that they see putting 80% in Japan vs. 20% in the rest of Asia, or 70% in Japan vs. 30% in Asia with about half of this comprising Indian startups-related deals.

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In order to better respond to the expansion of investment activities both in size and in geographical spread, Gree Ventures added new people to the investment team this spring. In addition to Amano and partner Tatsuki Tsutsumi as core members, principal Albert Shyy (former Lazada Group director), associate Nikhil Kapur (formerly a business founder in India), associate Masyuki Minato (formerly working at Boston Consulting Group), Natsumi Negishi (formerly working at Nomura Research and Advisory) and analyst Yuya Mineshima (formerly working at Goldman Sachs) joined the team. On June 1st, the firm will relocate their office from Gree Headquarters in Roppongi Hills to KaleidoWorks in the Arkhills business complex where Japan Venture Capital Association, B Dash Ventures and Incubate Fund are based together.

AT-I Limited Investment Partnership, the firm’s previous fund, was formed in 2014 at 5 billion yen (about $49 million in terms of the exchange rate then), and managed by Amano and Tsutsumi as well as Gree director Naoki Aoyagi and principal Alan Kuan Hsu in charge of deals in the Southeast Asian region (Hsu quit Gree Ventures last November to join KK Fund). They have invested in 16 startups in Japan and 9 startups in Southeast Asia from the previous fund, and could already collect a 40% return on these investments while there are still more than eight years remaining until the redemption period.

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KaleidoWorks’ lounge area (Image credit: Mori Bldg.)

According to Tsutsumi, the firm halted new investments temporarily over the last six months in preparation for the new fund, but commencing with the recent Sorabito and Ookami deals, they want to resume aggressive investments in startups focusing on the following three pillars: Industrial Renovation (AdTech, Digital Health and FinTech), Mobile Re-design (mobile optimization of existing services for desktop use) and People Empowerment (crowdsourcing, etc). Thanks to the upcoming relocation to KaleidoWorks which has a lounge space, they are expected to gain more touch points with startups and entrepreneurs.

Edited by “Tex” Pomeroy

Asia-focused mobile rewards startup Yoyo Holdings fundraises from KLab, Gree Ventures

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See the original story in Japanese. Yoyo Holdings, the startup known for providing mobile rewards platforms, announced today that it has secured funding from KLab Global, Gree Ventures, and an unnamed angel investor. Details of the investment have not been disclosed but the raised sum likely ranges around several million US dollars. The company fundraised $1.3 million from Gree Ventures, CyberAgent Ventures and Incubate Fund in the previous round back in May 2014. See also: Candy: A sweet mobile rewards solution from Singapore’s Yoyo Holdings Yoyo launches rewards platform in Indonesia, offers free internet access to Android users Out of all three investors participating in this round, KLab Global is a Singapore-based global business-focused subsidiary of Japanese mobile game development company KLab (TSE:3656). Yoyo Holdings is incorporated in Singapore but runs systems development and business operations mainly in Manila, the Philippines. Based on a partnership with KLab Global, Yoyo Holdings will relocate its Manila operations to inside the office of KLab Cyscorpions, a Manila-based subsidiary of KLab Global, aiming to receive substantial support for engineering efforts and corporate operations. Consisting of about 25 employees, Yoyo Holding provides mobile users with rewards platform: Candy and PopSlide. Candy is a solution that rewards users for performing micro-tasks – such as surveys,…

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See the original story in Japanese.

Yoyo Holdings, the startup known for providing mobile rewards platforms, announced today that it has secured funding from KLab GlobalGree Ventures, and an unnamed angel investor. Details of the investment have not been disclosed but the raised sum likely ranges around several million US dollars. The company fundraised $1.3 million from Gree Ventures, CyberAgent Ventures and Incubate Fund in the previous round back in May 2014.

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Out of all three investors participating in this round, KLab Global is a Singapore-based global business-focused subsidiary of Japanese mobile game development company KLab (TSE:3656). Yoyo Holdings is incorporated in Singapore but runs systems development and business operations mainly in Manila, the Philippines. Based on a partnership with KLab Global, Yoyo Holdings will relocate its Manila operations to inside the office of KLab Cyscorpions, a Manila-based subsidiary of KLab Global, aiming to receive substantial support for engineering efforts and corporate operations.

Consisting of about 25 employees, Yoyo Holding provides mobile users with rewards platform: Candy and PopSlide. Candy is a solution that rewards users for performing micro-tasks – such as surveys, app installs, banner clicks or review submissions – by giving them airtime or prepaid phone credit. Popslide distributes news and weather forecasts as well as other updates and ads to your smartphone lock screen. In return for viewing such information, users receive rewards for free Internet access on their smartphone. The company’s combined user base from the two services has acquired over a million users to date in the Southeast Asia region.

Yoyo Holdings co-founder and CEO Yosuke Fukada told The Bridge that they will use the funds to strengthen their engineering development resources:

In Southeast Asia, for instance, many people use an Android phone supporting multiple SIM cards with multiple phone numbers, so we need to support models which are not so common in advanced countries. Even Facebook has developed a mobile app specifically designed for rural areas in this region, where mobile broadband is likely unavailable. In a similar manner, we want to strengthen our engineering in order to better fit the targeted markets.

Coinciding with the funding, the company unveiled that Suni Kang has joined the team. She was previously working at Tonchidot Corporation, the Japanese startup behind the Sekai Camera Augmented Reality (AR) app, followed by working in the Philippines; she wanted to fathom the market potential in the Southeast Asia region. Along with working at an IT company as a project manager in Manila, she has deepened the mutual relationship with Yoyo Holdings by writing a guest post about them for Japanese tech blog Techwave, resulting in her joining the team as a project manager and recruiter.

Aiming to attract the Next Billion Market which accounts for two-thirds of the entire global population, Yoyo Holdings plans on expanding into the Indian market by the end of this year, in addition to enhancing their existing presence in Indonesia, the Philippines, Vietnam and Thailand. Unlike typical message apps, a mobile reward app using a lock screen will not typically co-exist with other similar apps in the smartphone since there’s only one lock screen for each mobile. Upon this understanding, Fukada and his team aim to fill the role as a dominant player in this space as soon as possible.

Yoyo won the startup competition and New Economic Summit in April as well as the second prize at Infinity Venture Summit (IVS) 2014 Fall last year. According to Fukada, their massive exposure at IVS helped them lead to the funds at this time around from KLab Global.

Edited by “Tex” Pomeroy

Japanese scheduling and appointment booking solution Coubic raises $2.6 million

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See the original story in Japanese. Tokyo-based Coubic, the Japanese startup best known for its scheduling and appointment booking solution under the same name as well as last-minute beauty salon booking app Popcorn, announced today that it has fundraised 310 million yen (about $2.6 million) from DCM and Gree Ventures. Upon the funding, former Goldman Sachs vice president Yuki Maniwa and DCM’s general partner Osuke Honda joined the management board, aiming to strengthen Coubic’s management setup and corporate governance. This funding follows their previous round securing about $500,000 almost a year ago from DCM and Gree Ventures, the same investors at this funding round. Since its launch in April last year, Coubic has acquired over 10,000 merchants using the booking solution. They will use the funds to develop additional functions like customer relation management. Maniwa was a classmate for Coubic CEO Hiroshi Kuraoka when attending his university. Kuraoka told The Bridge that he expects Maniwa’s business skills and vitality with the proven background.

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See the original story in Japanese.

Tokyo-based Coubic, the Japanese startup best known for its scheduling and appointment booking solution under the same name as well as last-minute beauty salon booking app Popcorn, announced today that it has fundraised 310 million yen (about $2.6 million) from DCM and Gree Ventures. Upon the funding, former Goldman Sachs vice president Yuki Maniwa and DCM’s general partner Osuke Honda joined the management board, aiming to strengthen Coubic’s management setup and corporate governance.

This funding follows their previous round securing about $500,000 almost a year ago from DCM and Gree Ventures, the same investors at this funding round. Since its launch in April last year, Coubic has acquired over 10,000 merchants using the booking solution. They will use the funds to develop additional functions like customer relation management.

Maniwa was a classmate for Coubic CEO Hiroshi Kuraoka when attending his university. Kuraoka told The Bridge that he expects Maniwa’s business skills and vitality with the proven background.

Japan’s Somewrite raises $1.1M from Gree and others, scaling up native advertising platform

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See the original story in Japanese. Japanese “owned media” marketing company Somewrite fundraised 120 million yen (about $1.1 million) from Gree Ventures and other undisclosed investors. In May of 2013, Somewrite won the fifth batch of Incubate Camp, an intensive two-day business development program for entrepreneurs organized by Japan’s Incubate Fund. In July of 2014, the company announced a set of comprehensive “owned media” marketing services called Somewrite Networks, which provides content marketing, owned media distribution, and native advertising platform services. Somewrite Ad, the company’s native advertising network platform, picks up advertorial articles from owned media sites and distributes them to other partnering news media sites as a native ad so that these articles match the form with other regular articles in which they are placed. The platform has a tracking engine which learns the preference of users in real time. In a response to our request for comment upon this funding, Somewrite’s CEO Yasunari Shibata said: Because our Somewrite Ad service has been seeing good growth, we’ll be more focused on the ad network business. We’ve been running this on a test basis to date, but we’ll be shifting to a full-scale service from the middle of this month….

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See the original story in Japanese.

Japanese “owned media” marketing company Somewrite fundraised 120 million yen (about $1.1 million) from Gree Ventures and other undisclosed investors.

In May of 2013, Somewrite won the fifth batch of Incubate Camp, an intensive two-day business development program for entrepreneurs organized by Japan’s Incubate Fund. In July of 2014, the company announced a set of comprehensive “owned media” marketing services called Somewrite Networks, which provides content marketing, owned media distribution, and native advertising platform services.

Somewrite Ad, the company’s native advertising network platform, picks up advertorial articles from owned media sites and distributes them to other partnering news media sites as a native ad so that these articles match the form with other regular articles in which they are placed. The platform has a tracking engine which learns the preference of users in real time.

In a response to our request for comment upon this funding, Somewrite’s CEO Yasunari Shibata said:

Because our Somewrite Ad service has been seeing good growth, we’ll be more focused on the ad network business. We’ve been running this on a test basis to date, but we’ll be shifting to a full-scale service from the middle of this month.

They will use the funds to fulfill their management base as well as to strengthen system development and marketing expansion, in addition to hiring more people.

Japan’s Ticket Street raises $3M from eBay, Gree Ventures

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See the original story in Japanese. Ticket Street is a Tokyo startup providing a platform focused on the buying and selling of show tickets. The Nikkei reported that the startup has fundraised 300 million yen (or about $3 million) from US e-commerce giant eBay (NASDAQ:EBAY) and Japan’s Gree subsidiary Gree Ventures. See also: Ticket Street: How Japan’s ticket-reselling site keeps up rapid growth Because eBay has online ticket marketplace StubHub under its wings, the Tokyo company plans to partner with the US counterpart to start selling tickets from this fall for MLB and NBA games in Japan. Ticket Street was originally launched by a freelance engineer and was subsequently incorporated in August of 2011. To date, it has fundraised 75 million yen (about $750,000) in total from Mitsubishi UFJ Capital, and Mizuho Capital as well as Incubated Fund. Ticket Street partnered with other online marketplace services such as Yahoo Auction (by Yahoo Japan) and Ticket Checkit (by Japanese internet company Zigexn) earlier this year and started sharing inventory data for available tickets with each others.

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See the original story in Japanese.

Ticket Street is a Tokyo startup providing a platform focused on the buying and selling of show tickets. The Nikkei reported that the startup has fundraised 300 million yen (or about $3 million) from US e-commerce giant eBay (NASDAQ:EBAY) and Japan’s Gree subsidiary Gree Ventures.

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Because eBay has online ticket marketplace StubHub under its wings, the Tokyo company plans to partner with the US counterpart to start selling tickets from this fall for MLB and NBA games in Japan.

Ticket Street was originally launched by a freelance engineer and was subsequently incorporated in August of 2011. To date, it has fundraised 75 million yen (about $750,000) in total from Mitsubishi UFJ Capital, and Mizuho Capital as well as Incubated Fund.

Ticket Street partnered with other online marketplace services such as Yahoo Auction (by Yahoo Japan) and Ticket Checkit (by Japanese internet company Zigexn) earlier this year and started sharing inventory data for available tickets with each others.

GREE Ventures closes $50M fund to target Asian startups

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GREE Ventures has just announced the initial closing of its second fund. Dubbed the AT-I Investment Limited Partnership, this is a 5 billion yen fund (or about $50 million) which it will use to target tech startups in Japan and South East Asia, mostly series A stage companies at about 100 million yen to 300 million yen per company ($1 million to $3 million). Investors in the fund include GREE Inc, SME Support Japan, Credit Saison, Ateam Inc, and Mizuho Capital. The announcement notes that a second closing will likely come later this summer. GREE Ventures (PDF)

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GREE Ventures has just announced the initial closing of its second fund. Dubbed the AT-I Investment Limited Partnership, this is a 5 billion yen fund (or about $50 million) which it will use to target tech startups in Japan and South East Asia, mostly series A stage companies at about 100 million yen to 300 million yen per company ($1 million to $3 million).

Investors in the fund include GREE Inc, SME Support Japan, Credit Saison, Ateam Inc, and Mizuho Capital. The announcement notes that a second closing will likely come later this summer.

GREE Ventures (PDF)

Japanese crowdsourcing platform for video production raises $3M

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See the original article in Japanese Viibar, startup which operates a crowdsourcing platform specializing in video production raised approximately 300 million yen in total ($3 million) from Globis Capital Partners and GREE Ventures. Further details were not disclosed. Viibar was founded in April of 2013, with the aim of offering high-quality video for affordable prices, matching creators (like video directors and videographers) with clients. According to Viibar CEO, Yuta Kamisaka, a few hundred creators have been already registered on Viibar. Since last year, the company has utilized crowdsourcing to outsource work from a number of clients, including Rakuten and Mixi. The short video below was created for Mixi. Kamisaka started his first career at a video-production company that makes TV and video ads. He gained some experience in video production, worked on the marketing team at Rakuten, and then he founded Viibar. He participated Open Network Lab’s incubation program as part of its seventh batch, where Viibar won The Best Team Award on demo day. Shogo Kawada, a co-founder of DeNA and an angel investor, has also joined the team. Currently Japan’s crowdsourcing platforms can be roughly divided into two types. One type has all processes completed within the platform…

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See the original article in Japanese

Viibar, startup which operates a crowdsourcing platform specializing in video production raised approximately 300 million yen in total ($3 million) from Globis Capital Partners and GREE Ventures. Further details were not disclosed.

Viibar was founded in April of 2013, with the aim of offering high-quality video for affordable prices, matching creators (like video directors and videographers) with clients. According to Viibar CEO, Yuta Kamisaka, a few hundred creators have been already registered on Viibar. Since last year, the company has utilized crowdsourcing to outsource work from a number of clients, including Rakuten and Mixi. The short video below was created for Mixi.

Kamisaka started his first career at a video-production company that makes TV and video ads. He gained some experience in video production, worked on the marketing team at Rakuten, and then he founded Viibar.

He participated Open Network Lab’s incubation program as part of its seventh batch, where Viibar won The Best Team Award on demo day. Shogo Kawada, a co-founder of DeNA and an angel investor, has also joined the team.

Currently Japan’s crowdsourcing platforms can be roughly divided into two types. One type has all processes completed within the platform – such as with Lancers and Crowdworks. The other type has the company more actively involved in the process, as with Mugenup or Kaizen. Viibar’s position is closer to the latter.

We spoke to Kamisaka about how the company handles video production.

ーーThe process is usually so complicated that it would be difficult leaving everything up to just the client and the creator. Mugenup solved the problem by dividing a whole process into small parts. How will Viibar take on the problem?

First, we ask clients to present an outline of the video. After signing a non-disclosure agreement, video directors on our platform who are interested in joining the project participate in the assignment and pitch their work. After creators are selected, we build a production platform on cloud.

On the website, clients can see profiles and past work of video directors and select one based on that information.

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ーーIsn’t it difficult to work on a project when there is just direct communication between a client and a creator?

Right. So we also have product managers who help facilitate the process. A client’s expectation of quality is usually pretty high, and sometimes the creator has to do some processes again. By as we learn with every project, that will be reflected in our operations and systems.

ーーHow many members do you have on the team?

We have three part-time product managers. We expect one manager can support 10 to 20 clients.

The video market is growing fast, as YouTube’s business expands. There is great potential for Viibar to grow.

ーーWhat type of order do you get the most? And how much does it usually cost?

For animation videos, around 300,000 yen ($3000), and for live-action video, 600,000 yen ($6000) would be the most common price. The types of video are wide-rangng, but YouTube ads and short video ads for companies’ websites that introduce their product or service are increasing.

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Videomaking has typically been a high-cost service. But with more video consumtion online, the need for affordable video clips is going up. On my own personal project dropout, almost 90 percent of the users watch the videos on their smartphone. This device shift is significant.

If it costs a few thousands dollars to make a video, it won’t be affordable for most people. But what if that price drops to a few hundreds dollars? Then it could drive an expansion of quality video media. To that end, I think there’s much potential to be found in video-crowdsourcing.