American fund to invest $10 million in Vietnamese start-ups

By Dam Tuan , Ha ThuMarch 9, 2016 | 11:52 pm PT

Silicon Valley based fund 500 Startups has announced plans to establish a micro fund worth $10 million for between 100 and 150 start-up projects in Vietnam, reported Venture Beat.

Last November, the investment fund revealed it had spare budget to invest in the Vietnamese market. The value of each disbursement package will range from $100,000 to $250,000.

Previously, the fund invested in hyperlocal networking applications and e-commerce projects in Vietnam with a large amount of capital via other funds in Southeast Asia.

Binh Tran, co-founder of social media tool analysis firm Klout, and Eddie Thai, will be responsible for executing the fund. Both of them joined 500 Startups last year

“Vietnam is a vibrant and growing country, with many talented entrepreneurs and engineers. Eddie and Binh are experienced operators who combine Silicon Valley know-how with Vietnamese hustle, and they are going to invest aggressively in the best and brightest founders all over the country,” said Dave McClure, the founder of 500 Startups.

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500 Startups is expressing high interest in Vietnam's market. Photo: Innovation Village

McClure hopes that this investment fund shall also provide training for founders and entrepreneurs to develop Vietnam's technology environment. 500 Startups will also “raise awareness of interesting opportunities to later-stage investors and acquirers.”

The founder of 500 Startups added that it targets at “improving the legal ease of launching and investing in technology companies.”

500 Startups was established in 2010 and now manages assets worth more than $240 million.

The fund has invested in various enterprises and projects including cosmetics firm Ipsy, social photography app Lightbox, pronunciation learning app ELSA, ticket purchasing website Ticketbox and hyperlocal social networking app Tappy.

500 Startups Vietnam is the latest micro regional investment tool the startup supporter has established. Besides Southeast Asia, the fund has also poured capital into enterprises in Korea, Japan, Turkey, Scandinavia, the Middle East and North Africa.

Since 2010, 500 Startups has invested in more than 1,500 enterprises and projects in over 50 countries.