Resona Bank Plans to Increase Support for Startup Financing
Resona Bank, a leading Japanese financial institution, has announced plans to expand its financial assistance to startups. According to President Shoichi Iwanaga, this move is crucial for the growth of the Japanese economy, which he believes cannot thrive without the contributions of startups.
One of the methods Resona Bank uses to support the growth of startups is through venture debt loans. These loans, which amounted to approximately 5.7 billion yen as of the end of July, come with equity purchase warrants attached. This means that the bank receives the right to purchase shares in the startups at a later date, a mechanism designed to protect the bank's shares from dilution.
The cumulative amount of startup assistance provided by Resona Bank will be raised to 100 billion yen by March 2029. This ambitious goal is part of the bank's overall financial assistance aimed at supporting the growth of startups. The venture debt loans provided by Resona Bank are a significant part of this effort, contributing to the total 100 billion yen target.
The exact identity of the person who will oversee achieving this goal is not publicly available at this time. However, it is clear that Resona Bank is committed to its mission of supporting the growth and success of startups in Japan.
In summary, Resona Bank is expanding its financial assistance to startups, with a goal of providing 100 billion yen in aid by March 2029. This assistance includes venture debt loans, a form of lending where the bank receives equity purchase warrants from the startups. This mechanism is designed to protect the bank's shares from dilution, while also providing the startups with the funding they need to grow and succeed.
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