The first innovative industrial investment fund in Zhejiang’s South Taihu New Area was set up recently, based on the incubation of scientific and technological talent projects.
The initial fund amounted to 350 million yuan, which was jointly funded by Jingkai Group of South Taihu New Area, Mizuda Group and other capitals from the society.
The fund will be used primarily for seed rounds and angel rounds of investment to start scientific and technological talent projects in the South Taihu New Area to effectively solve the financing problems of start-ups in the process of entrepreneurship and innovation.
Unlike general industrial funds, the innovation fund is targeted mainly at the national, provincial, municipal and district-level talent introduction programs.
Besides, the fund will also be used for newly-incubated scientific and technological talent projects in new research and development institutions, co-built by major universities and colleges in the South Taihu New Area, as well as for projects led by provincial-level scientific and technological, small and medium-sized enterprises or above.
The operation of the innovation fund follows the principles of project bundling, risk sharing, and benefit sharing. This means that the government only takes responsibilities in project recommendation, instead of investment decision making.
If the fund manager introduces other social capitals, the total investment of the project shall be used as the base and the fund manager shall be given an annual investment reward.