Thailand is experiencing a significant increase in investments made by the corporate venture capital (CVC) arms of leading Thai companies. These companies operate in various sectors including financial institutions, telecommunications, real estate and petrochemicals. Many are large conglomerates.
The dominance of CVCs does not mean that there are no pure venture capital (VC) firms in Thailand. The Thai Venture Capital Association was established in 1994 to support the development of the VC ecosystem in Thailand. Currently, there are a handful of VC firms that are very active in the markets and their investments play an important role in growing Thailand’s VC industry. Aside from investment opportunities and market awareness that drive the growth of the sector, legal and regulatory development (or the lack of it) is also a key deal driver.