EDBI and SEEDS Capital to disburse $285m to startups

The scheme will provide time-limited funding during the pandemic.

Economic Development Board’s corporate investment arm EDBI and Enterprise Singapore’s investment arm SEEDS Capital will administer the $285m Special Situation Fund for Startups (SSFS) to provide financing support for promising startups based in Singapore, according to an announcement.

Under this scheme, EDBI and SEEDS Capital will invest in selected startups with private sector co-investors on a 1:1 basis.

The scheme will provide time-limited funding support to help high-potential startups sustain their growth momentum despite the pandemic. This will end when the funds are fully committed or by 31 October 2021, whichever is earlier.

The SSFS will support early- to late-stage innovative startups with strategic capabilities that can contribute to Singapore’s national priorities. EDBI will focus on late-stage startups with larger funding needs and wider employment base while SEEDS Capital will focus on early-stage startups.

EDBI and SEEDS Capital will assess startups on a case-by-case basis. The startups should be incorporated as a private limited company with headquarters and key value-added activities in Singapore as well as possess strategic capabilities such as technology and innovation competencies and/or sustainable competitive advantages.