Daiwa Securities Unit Partners with Australian VC for AI, Quantum Startups

Daiwa Corporate Investment, a subsidiary of Japan's Daiwa Securities Group, is joining forces with an Australian venture capital firm to establish a new investment fund. The initiative, named The Sakura Fund, aims to secure $143 million in capital during 2026. The fund's investment strategy will concentrate on Australian companies that are in their growth stages, with a particular emphasis on sectors such as artificial intelligence, quantum technology, and food technology.

This collaboration builds on Daiwa Securities Group's prior engagement in the Australian deep tech ecosystem. In 2023, the group made a strategic investment in the third fund managed by Main Sequence Ventures, with the objective of facilitating connections between Australian deep tech startups and Japanese corporations and investors. Susumu Handa, CEO of Daiwa Capital Markets Australia Limited, noted that the company's investment business is increasingly focused on addressing social issues like housing shortages, decarbonization, and the development of deep tech startups to tackle global challenges.

The partnership aligns with Australia's "Future Made in Australia" policy, which seeks to advance domestic manufacturing and renewable energy initiatives to meet net-zero targets. Japanese Ambassador to Australia, Kazuhiro Suzuki, expressed anticipation for further cooperation between Japan and Australia in achieving global net-zero emissions.