SBVA: Pioneering Korean Venture Capital with Global Impact
Connecting Korean innovation to the world through strategic investments and ecosystem building
Executive Summary
SBVA (formerly SoftBank Ventures Asia) stands as one of Korea’s most influential venture capital firms, with approximately $2 billion in assets under management and investments in over 300 startups globally across diverse sectors including AI, energy, healthcare, fintech, and edtech. Recently honored with the prestigious "VC of the Year" award at the 15th Korea Venture Capital Awards in December 2024, SBVA represents a unique investment opportunity for international GPs and LPs seeking exposure to Korea’s dynamic startup ecosystem.
Company Overview
Foundation and Evolution
SBVA was established in 2000 as SoftBank Ventures Korea under the leadership of Masayoshi Son, initially focusing on Korean-based Internet companies. The firm evolved from SoftBank Ventures Korea to SoftBank Ventures Asia, expanding its focus globally with emphasis on Asia-Pacific region startups.
In a significant transformation, The Edgeof acquired the company from SoftBank Group Corp. in June 2023, and the firm officially rebranded to SBVA in February 2024, marking its independence while maintaining its strategic focus on technology innovation.
Current Structure and Governance
Independent Status: SBVA joined forces with The Edgeof, a global startup ecosystem builder founded by Taizo Son, JP Lee, and Atsushi Taira, beginning its new chapter as an independent entity with renewed commitment to fostering innovation.
Leadership: JP (JoonPyo) Lee serves as CEO of SBVA, bringing extensive experience in venture capital and entrepreneurship to guide the firm’s strategic direction.
Assets Under Management and Fund Performance
Current AUM
- Total AUM: Approximately $2 billion in assets under management
- Portfolio Size: Over 300 companies invested globally
Recent Fund Activity
2023 Alpha Korea Fund: Successfully closed at approximately ₩200 billion ($150 million), significantly surpassing the initial target of ₩100 billion
Alpha Intelligence Fund: Launched a $130 million AI startup fund in 2024, targeting middle-stage AI startups in Asia and US companies aiming to establish Asian market presence, with plans to increase to $200 million by end of 2024
Investor Base: Key investors include Korea Development Bank (KDB) as anchor LP, SoftBank Group, Hanwha Life, Industrial Bank of Korea (IBK), Nexon, and KB Capital
Investment Strategy and Focus Areas
Core Investment Themes
Technology Innovation:
- Artificial Intelligence (AI)
- Robotics and Smart Technology
- Semiconductors
- Mobility Solutions
- AR/VR Technologies
Market Innovation:
- Enterprise Software
- Healthcare Technology
- Content and Media
- Industrial Deep Tech
- FinTech Solutions
Investment Stage and Approach
SBVA primarily invests in Series A and Series B stages, with average round sizes of $10.2M for Series A (60 investments) and $36.1M for Series B (45 investments), plus significant seed stage activity with $2.5M average rounds (31 investments).
The firm invests in early to growth stage startups, prioritizing companies with technology that can transform people’s lives and supporting startups seeking global expansion.
Track Record and Portfolio Highlights
Unicorn Portfolio
SBVA’s portfolio includes 8 unicorns: Tridge, Bucket Place, ZEPETO and others, with Tridge being the most recent unicorn achievement in 2022. Notable Korean unicorns include Karrot, Hyperconnect, Lunit, and Kream.
Major Investment Successes
Coupang: SoftBank’s $1 billion investment in Korea’s leading e-commerce firm at a $5 billion valuation demonstrated the firm’s ability to identify and scale major market leaders
Tokopedia: Early investment in Indonesia’s leading commerce and technology platform, with SBVA first investing in 2013 and maintaining strong partnership through the company’s growth
Regional Success Stories:
- SOCAR: Korean car-sharing platform
- SNOW China: #1 AR camera app in Asia by users
- Hyperconnect: Video communication service "Azar" with 200M+ downloads
- Mythic: Fast-growing AI chip company in Silicon Valley
Exit Performance
The portfolio has achieved 17 IPOs and 28 acquisitions, demonstrating strong exit capabilities across various market conditions.
Global Presence and Market Reach
Geographic Distribution
SBVA has made investments across multiple regions: South Korea (78 investments), United States (29 investments), with additional presence across Asia-Pacific.
International Offices
The firm maintains strategic presence in key markets:
- Seoul: Headquarters and primary operations
- Singapore: Regional Asian operations
- Beijing: China market access
- Silicon Valley: US technology ecosystem connection
Recent Achievements and Market Recognition
2024 Awards and Recognition
SBVA received the prestigious "VC of the Year" award at the 15th Korea Venture Capital Awards on December 4, 2024, recognizing exceptional investment performance and outstanding contributions to the venture ecosystem.
Strategic Partnerships and Events
In 2024, SBVA co-hosted a landmark event featuring OpenAI CEO Sam Altman in partnership with the Ministry of SMEs and Startups, and hosted the 2024 SBVA Tokyo Forum facilitating market entry of eight portfolio companies into Japan.
Investment Activity
In 2024, SBVA made 9 new investments, maintaining active deal flow despite challenging market conditions.
Market Position and Competitive Advantages
Unique Value Proposition
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Deep Korean Market Knowledge: 25+ years of experience in Korean startup ecosystem with strong local network and market understanding
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Global Connectivity: Leveraging expertise and network in ICT sector with over $2 billion invested in 300+ startups globally over 20 years
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AI and Technology Focus: Strong positioning in AI investing with dedicated funds targeting cloud SaaS, healthcare, biotech, fintech, semiconductors, robotics and agriculture sectors
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Strategic Independence: Enhanced flexibility and decision-making autonomy following separation from SoftBank Group while maintaining beneficial relationships
Co-Investment Partners
SBVA frequently co-invests with leading regional VCs including Golden Gate Ventures, East Ventures, Samsung Ventures, and Stonebridge Capital.
Investment Outlook and Future Strategy
AI and Technology Leadership
SBVA created a $160M ‘future innovation fund’ in March 2021, focusing on AI startups with investments in VoyagerX (AI software developer), Upstage AI (AI solution provider), and MarqVision (AI-powered IP protection platform).
Market Expansion Strategy
The firm continues to focus on supporting domestic startups’ international expansion while identifying global companies seeking Asian market entry, particularly in high-growth technology sectors.
Ecosystem Building
SBVA operates comprehensive ecosystem support including the UKOV internship program matching university students with portfolio companies, demonstrating commitment to long-term ecosystem development.
Why International GPs/LPs Should Consider SBVA
Strategic Value Proposition
- Market Access: Unique gateway to Korea’s vibrant startup ecosystem and broader Asian markets
- Proven Track Record: Strong exit performance with 17 IPOs and 28 acquisitions across diverse portfolio
- Technology Leadership: Leading position in AI, robotics, and emerging technology investments
- Independent Operation: Enhanced strategic flexibility while maintaining institutional relationships
- Global Network: Established connections across Asia-Pacific, US, and European markets
Investment Opportunity
With Korea’s startup ecosystem maturing and increasing global connectivity, SBVA represents a compelling opportunity for international investors seeking exposure to Asian innovation while benefiting from local expertise and proven investment capabilities.
For international GPs and LPs interested in exploring investment opportunities with SBVA, the firm’s combination of local market leadership, global connectivity, and strong track record positions it as a premier partner for accessing Korea’s dynamic venture capital landscape.
Contact Information:
- Website: sbva-capital.com
- Headquarters: Seoul, South Korea
- Global Offices: Singapore, Beijing