ADB Ventures Raises $50 Million, Exceeding Fund Capitalization Target

The Asian Development Bank (ADB) announced that ADB Ventures, its new impact investment platform, will soon commence operations after successfully raising the equivalent of $50 million from multilateral and bilateral development partners and exceeding its first fund close target.

MANILA, PHILIPPINES (20 April 2020) — The Asian Development Bank (ADB) announced that ADB Ventures, its new impact investment platform, will soon commence operations after successfully raising the equivalent of $50 million from multilateral and bilateral development partners and exceeding its first fund close target. The first investors in the platform’s inaugural fund are Finland’s Ministry for Foreign Affairs, the Clean Technology Fund, the Nordic Development Fund, and the Republic of Korea’s Ministry of Economy and Finance.

ADB Ventures was established in January this year to support and invest in technology-driven businesses with significant potential to scale and deliver impact, while helping ADB’s developing member countries to achieve the Sustainable Development Goals. Its inaugural ADB Ventures Investment Fund 1 has a 17-year fund life and supports early-stage and growth-stage cleantech, agricultural technology, fintech, and health technology businesses. Its focus will be on companies with solutions that can address climate change and empower women.

Finland’s Minister for Development Cooperation and Foreign Trade Ville Skinnari said: “ADB Ventures underlines Finland’s longstanding support for clean technology investments in emerging markets. It provides a new mechanism to leverage best-in-class clean technologies, including many from the Nordics, for climate and gender impact.”

Head of Climate Investment Funds Mafalda Duarte said: “Through its Clean Technology Fund, Climate Investment Funds is proud to support ADB Ventures and its important mission of scaling up next-generation clean technologies, an aim we share. We look forward to harnessing this unique investment vehicle in Asia to support climate advancements and private sector innovation when we need them most.”

Nordic Development Fund Manager Aleksi Lumijärvi said: “Nordic Development Fund is pleased to expand our Asian Development Bank partnership to private sector operations. We have supported this innovative facility from the early concept design phase because we believe it will unlock exciting new avenues for progress on climate, gender, and the Sustainable Development Goals.”

Director General Il Young Park from the Development Finance Bureau of the Republic of Korea’s Ministry of Economy and Finance said: “The Government of the Republic of Korea has developed a virtuous cycle of venture ecosystems as the core axis of innovative growth. I hope that the launch of ADB Ventures will also lead the region to achieve innovative and sustainable growth by enhancing partnerships with innovative players in the Republic of Korea.”

ADB Director General for Private Sector Operations Mike Barrow said: “These commitments by some of the world’s most forward-thinking development donors will be catalytic in achieving ADB’s vision to convene one of the region’s largest impact venture platforms. As the world battles the COVID-19 pandemic, we believe that our patient-capital venture fund will be a timely shot in the arm for early-stage impact investment in Asia and the Pacific.”

ADB is committed to achieving a prosperous, inclusive, resilient, and sustainable Asia and the Pacific, while sustaining its efforts to eradicate extreme poverty. Established in 1966, it is owned by 68 members—49 from the region.

ADB Unveils Venture Platform to Invest in Impact Technology Startups

The Asian Development Bank (ADB) has approved the establishment of ADB Ventures, a new venture platform that will support and invest in startups offering impact technology solutions that contribute to the achievement of the SDGs in Asia and the Pacific.

The Asian Development Bank (ADB) today approved the establishment of ADB Ventures, a new venture platform that will support and invest in startups offering impact technology solutions that contribute to the achievement of the Sustainable Development Goals (SDGs) in Asia and the Pacific. (Read the ADB Ventures Establishment Paper)

“This region is brimming with technology solutions to conserve energy, reduce waste, fight climate change, and deliver public services effectively,” said ADB Director General for Private Sector Operations Mr. Mike Barrow. “ADB Ventures will help bring these solutions to market by leveraging our extensive operational networks and filling the risk capital gap facing innovative early-stage companies in developing Asia and the Pacific, particularly smaller and frontier markets.”

ADB Ventures Investment Fund 1, the facility’s anchor trust fund, has a target size of $50 million and is accepting contributions from multiple funding sources including bilateral and multilateral development partners. It will mainly invest in early-stage startups and focus on companies with solutions that can address climate change and empower women. The fund has a 17-year fund life, allowing ADB to invest patient capital into cleantech, fintech, agricultural technology, and health technology solutions.

The Nordic Development Fund, Climate Investment Funds, and the Government of Australia funded project preparation for the ADB Ventures facility. ADB Ventures Investment Fund 1 is expected to begin operations in the second quarter of 2020. One of its main aims will be to mobilize private capital through co-investing with private sector investors.

“Our vision is for ADB Ventures to become the region’s largest impact technology platform, crowding in more than $1 billion of risk capital to achieve the SDGs by 2030,” said Mr. Barrow.

Unlike traditional venture capital funds, ADB Ventures Investment Fund 1 is augmented by a three-year, $12 million technical assistance program that will support impact technology startups through two main activities. ADB Ventures SEED is a grant program to validate and de-risk technology pilots and promote expansion into emerging markets that startup companies might otherwise not prioritize. ADB Venture Lab is a suite of corporate innovation programs implemented in partnership with industry and leading accelerators for startups. ADB Ventures will leverage ADB’s operational networks and industry expertise to generate technology pilot opportunities and support ADB Ventures Investment Fund 1 portfolio companies.

ADB is committed to achieving a prosperous, inclusive, resilient, and sustainable Asia and the Pacific while sustaining its efforts to eradicate extreme poverty. Established in 1966, it is owned by 68 members—49 from the region.

Travel Lab Asia launched by ADB Ventures, PATA, and Plug and Play

ADB Ventures, in partnership with The Pacific Asia Travel Association and Plug and Play, today announced the launch of Travel Lab Asia , Asia’s only corporate innovation programme focused on sustainability in travel.

ADB Ventures, in partnership with The Pacific Asia Travel Association (PATA) and Plug and Play, today announced the launch of Travel Lab Asia (TLA), Asia’s only corporate innovation programme focused on sustainability in travel.

 

 

NUR-SULTAN, Kazakhstan, September 20, 2019 – Travel Lab Asia is a platform for triple-bottom-line innovation in Asia’s travel industry. In its first year, it will focus on helping corporate partners source and integrate CleanTech solutions for improved business performance and environmental impact. Participating corporates will have unrivalled access to sustainability-focused technology solutions from around the world. They will receive support to articulate their sustainability-related technology needs and to develop pilot proposals with solution providers. Furthermore, they will have access to ADB’s research and counsel on environmental and social impact measurement, enabling them to tell clear and credible brand stories as regional leaders in sustainability.

CleanTech includes technology for energy efficiency, waste reduction, recycling and circular economy, food waste management, reduced water use and loss, waste and effluent management, water collection and distribution, natural resource management, and climate change adaptation and mitigation.

 

The ADB Factor

Uniquely, Travel Lab Asia includes the potential for the Asian Development Bank to fund and thereby de-risk and expedite the pilot testing of high-potential solutions in emerging markets. The Asian Development Bank will also mobilize support for CleanTech solution providers to scale up in Asia-Pacific emerging markets following successful pilots.

“Booming tourism growth has triggered a hotel, venue, and infrastructure building spree across the Asia Pacific. We have a one-shot opportunity to steer tourism facilities down a sustainable path, which we intend to seize by helping corporate partners align their bottom-line interests with sustainable development goals,” said Jason Lusk of ADB Ventures.

 

Corporates on Board

As many as three additional corporate partners will be considered for the program, which begins January 1, 2020. At this point, Minor Hotela, Jetwing Hotels, and Hilton Hotels & Resorts have already enrolled as charter Travel Lab Asia corporate partners.

Hiran Cooray Chairman, Jetwing Symphony PLC, said, “Jetwing is committed to sustainability and pushing the limits of what we can achieve. We are excited by this opportunity to access innovative clean technology that will help us reach the SDGs, especially with our long-standing membership with PATA.”

“Minor Hotels has always believed in giving back to society and has carried out numerous social responsible projects and activities since our first hotel opened back in 1978,” said Dillip Rajakarier, CEO of Minor Hotels and COO of Minor International.

For more information about Travel Lab Asia, please visit https://travel-lab.asia