Touchstone, Vietnam state funds launch $100M co-investment programme
What's the deal? Touchstone PartnersDealroom has a profile for this one. Try Dealroom →, the Vietnam International Financial Centre in Ho Chi Minh City (VIFC-HCMC), and the Ho Chi Minh City Venture Investment Fund (HCM VIF) have agreed to set up a blended-finance, co-investment fund with potential capacity of up to $100 million. Under the five-year framework, Touchstone and HCM VIF are each expected to invest up to $50 million in eligible companies on a 1:1 matching basis.
How it works: Touchstone brings its network of international investors and expertise in backing technology companies. HCM VIF provides matching domestic capital, while VIFC-HCMC coordinates the programme — facilitating regulatory sandboxes, licensing, incentives, and links to government agencies and strategic partners.
What's the focus? The programme targets seed- to growth-stage technology companies across AI, biotechnology, healthcare, manufacturing, renewable energy, and climate solutions. Individual deals will be assessed case by case, so the $100 million is a five-year capacity rather than a committed raise.
Who's behind HCM VIF? Launched in April 2026, it is Vietnam's first public-private venture capital fund, with initial charter capital of VND500 billion ($19.5 million) — 40% from the city budget, 60% from private shareholders. Its backers include VingroupDealroom has a profile for this one. Try Dealroom →, Sovico Group, FPT CorporationDealroom has a profile for this one. Try Dealroom →, VNG, Becamex, VinaCapitalDealroom has a profile for this one. Try Dealroom →, and others, with a target to grow 10-fold by 2035.
Why now? The move builds on cooperation signed earlier this year between VIFC-HCMC, Touchstone, and Temasek FoundationDealroom has a profile for this one. Try Dealroom →, and on Touchstone's $10 million Green Transition Fund, announced in November 2025. It comes as Vietnamese venture funding stays tight: one report put 2025 investment at about $215 million across 41 deals, with capital concentrated in a few larger rounds.
What they're saying: "The partnership goes beyond providing capital. The fund will research together, develop products, build business models and set up a co-investment mechanism," said Truong Minh Huy Vu, vice chairman of the Ho Chi Minh City People's Committee and chairman of VIFC-HCMC.
The signal: The programme is an attempt to use public-private matching to pull more capital into Vietnamese technology and green startups. Its impact will depend on how much of the $100 million is actually committed and deployed.
Read more: dealstreetasia.com
Image credit: Richard Allaway
