Red Capital's Life Science and Healthcare-Focused Fund, 'Red No. 1 Healthcare Investment Limited Partnership,' Welcomes the Organization for Small & Medium Enterprises and Regional Innovation (SME Support JAPAN) — Accelerating Fund Expansion and Ecosystem Collaboration

Red Capital Inc. (Headquarters: Shibuya-ku, Tokyo) is pleased to announce that the Organization for Small & Medium Enterprises and Regional Innovation (SME Support JAPAN) has joined its life science and healthcare-focused fund, the "Red No. 1 Healthcare Investment Limited Partnership" (hereinafter "Red No. 1 Fund").

With this new participation, the Red No. 1 Fund's Limited Partners (LPs) now include SME Support JAPAN, Seibu Shinkin Bank, the University-based Startup Promotion Fund (managed by The University of Tokyo Edge Capital Partners Co., Ltd.), and The Shizuoka Bank, Ltd. We will continue our fundraising activities with a target fund size of 6 billion yen.

Background and Vision of the Fund

Under the vision of "Taking humanity to the next stage," Red Capital established the Red No. 1 Fund to translate science and technology in the life science and healthcare sectors into social implementation. While deep tech holds significant social impact, it requires long-term commitment and substantial capital to commercialize, and Japan currently lacks sufficient risk money and support systems to sustain its growth. The Red No. 1 Fund combines two investment approaches: a "Seed-Drive" model that provides consistent support from the seed stage through to exit, and an "Ecosystem Complementary" model that boosts growth through secondary investments. We provide long-term, optimal support tailored to each growth phase, going beyond mere capital injection. Furthermore, by discovering and nurturing excellent technical seeds scattered across regions, we contribute to the creation of new industries and the revitalization of regional economies. By integrating investment, hands-on support, and ecosystem collaboration, we aim to achieve both financial returns and social impact. It is Red Capital's mission to elevate the potential of scientific technology into viable businesses and deliver those results to society.

Synergies with Participating LP Investors and Future Outlook

The participation of SME Support JAPAN is expected to accelerate cross-regional collaboration and the creation of new business opportunities by leveraging the organization's nationwide incubation facilities and extensive network. Additionally, through collaboration with the acceleration programs provided by SME Support JAPAN, we will further enhance our startup growth support, increasing the speed toward commercialization and market entry. Utilizing this collaborative foundation, the Red No. 1 Fund will continue to expand its investment activities while enhancing the value-creation capacity of the entire ecosystem. We will continue to promote LP recruitment to reach our 6 billion yen target, accelerating the social implementation of more innovative technologies.

Comments from Investors

Organization for Small & Medium Enterprises and Regional Innovation (SME Support JAPAN)

SME Support JAPAN is a policy implementation agency that supports the growth and development of small and medium-sized enterprises and startups, as well as the revitalization of regional economies. We have high expectations for the Red No. 1 Healthcare Investment Limited Partnership, given its focus on discovering new technical seeds in drug discovery and medical devices, its investment approach based on deep, paper-based due diligence, and the hands-on support provided by the two experienced General Partners. We look forward to seeing excellent technologies from R&D-based startups being implemented in society, as well as contributions to the sustainable growth of the Japanese economy, industrial sophistication, and regional revitalization.

Seibu Shinkin Bank

We are very pleased to participate in supporting innovative startups in the life science and healthcare fields through our investment in this fund. We believe that Red Capital's deep expertise and diverse perspectives will empower ambitious entrepreneurs to take on challenges...