Sun. Sep 25th, 2022

Startup SG Equity

The Startup SG Equity scheme aims to stimulate private sector investments into innovative, Singapore-based technology startups with intellectual property and global market potential.

As part of the Startup SG Equity scheme, the government will:

(i) Co-invest with independent, qualified third party investors into eligible startups; and

(ii) Invest in selected venture capital firms that will in turn invest into eligible startups, through a fund-of-funds approach.

SEEDS Capital and SGInnovate have been appointed to manage the co- investment modality under Startup SG Equity.

EDBI has been appointed to manage the fund-of-funds modality under Startup SG Equity.

Under the co-investment modality, Startup SG Equity has different investment parameters for general tech and deep tech startups:

Investment Parameters
General techDeep tech
Investment Cap for each startup$2M from SEEDS Capital$8M from SEEDS Capital
Co-investment ratio7:3 up to the first $250K from SEEDS Capital;1:1 thereafter, up to $2M7:3 up to the first $500K from SEEDS Capital;1:1 from $500K to $4M3:7 thereafter, up to $8M

Under the fund-of-funds modality, the investment parameters for investee funds are as follows:

Investment Parameters
Investment focusEarly-stage deep tech startups based in Singapore, with a primary focus on Advanced Manufacturing, Pharmbio/Medtech, Agri-food tech.
Fund size Minimum fund size of S$30M
Investment ConditionsThe Investee Fund can invest up to 20% of its fund size per investee company.Total investments by the Investee Fund into Singapore-based deep tech startups should minimally be matched against EDBI’s capital commitment using a 1:1 ratio or at least 20% of the total fund size.

SOURCE https://www.startupsg.gov.sg/programmes/4895/startup-sg-equity

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