Deep tech is a key focus area for Singapore's Economic Development Board's investment arm, amongst other sectors that could assist in the country's strategic goals.
A third of Economic Development Board Investment (EDBI)'s portfolio is in firms within deep tech at varying growth stages, from Series A to Series C. One recent investment was in San Francisco-based Bright Machines, which enables «programmable and autonomous factories» by providing robotic cells and software, said Chu Swee Yeok, EDBI's chief executive officer.
The approach is one of «bridging Western and Eastern ecosystems with Singapore as the core and base for its portfolios», said Chu, who was quoted in the «Business Times»(behind paywall).
Other Areas Of Focus
Within healthcare, another focus area of EDBI, the firm now has 20 portfolios, double that from three years ago. These include digital healthcare firms that tap artificial intelligence, the Internet of Things, and big data to improve chronic condition management; and personalized medicine firms where individual patients receive tailored healthcare solutions.
«We want to encourage healthcare companies to work with our local health providers to drive Singapore forward as a healthcare innovation hub and medical center of excellence,» said Chu.
In the area of urban sustainability, EDBI is looking for agritech and foodtech innovations that help Singapore overcome constraints such as land. This year, the government announced the goal of locally producing 30 percent of the island's food needs by 2030.
Global Network Of Advisors
Beyond providing capital, EDBI adds value to its portfolio companies by tapping on its network to help these firms realize their plans and strategies. One new initiative is EDBI Connect, which is a global network of advisors and leaders in business, investment, and technology. These experts support portfolio companies, from contributing to strategies and giving advice, to making market connections and helping in the execution of business plans.
Internally, the EDBI's new Value Creation Team helps portfolio companies create new business opportunities, as well as facilitate market access and talent acquisition. For example, one of EDBI's investments this year was in Planet, a satellite operator. «As their first Singapore-based investor, we are helping the company with their Asia expansion by supporting their local talent needs and connecting them with government agencies and commercial customers across multiple industries like agriculture, maritime, energy, and finance,» said Chu.
Investing Locally
The body's investment strategies are aligned to that of its parent, the EDB. It also coordinates with government agencies such as Enterprise Singapore and the Infocomm Media Development Authority, with focus areas supporting national drives such as the Smart Nation initiative, Industry 4.0, urban sustainability, healthcare innovation, and the growth of local industries.
Thus, ICT (information and communication technology) firms currently make up over a third of EDBI's portfolio today, as these investments can help Singapore strengthen its position as the foremost digital hub in the region and support Singapore's digital transformation initiative.
In addition, EDBI also invests locally, tapping on its Strategic Growth Programme which supports high-growth small and medium enterprises and large local enterprises in key industries of logistics, engineering, transport, and consumer products. «These companies must have the potential and ambition to become regional and global leaders while creating good jobs in Singapore,» Chu added.
