Living Lab Ventures Partners with Nihon M&A Center to Open Japan-Indonesia Investment Gateway

Living Lab Ventures (LLV), the venture capital unit of Sinar Mas Land, signed a memorandum of understanding with PT Nihon M&A Center Indonesia on 31 July 2026 to strengthen cross-border investment flows, whilst emphasising major capital investment plans in the healthcare and artificial intelligence technology sectors throughout the year. Japanese foreign direct investment in 2025 reached approximately USD3.12 billion, equivalent to Rp50 trillion. Living Lab Ventures has managed an investment portfolio worth more than USD100 million since its establishment in 2020. National venture capital funding was recorded at Rp16.36 trillion as of May 2026, with national venture capital industry assets reaching Rp27.49 trillion in the same month. The collaboration grants LLV access to a Japanese M&A network that has operated for more than three decades and encompasses over 10,000 domestic and international transactions, enabling Indonesian companies to more easily find strategic partners in Japan. Both parties agreed to hold regular strategic discussions and develop joint projects, allowing Japanese companies to penetrate the Indonesian market with local knowledge support. Nihon M&A Center’s extensive network in ASEAN and its relationships with Japanese financial institutions will accelerate the flow of capital and technological knowledge into the Indonesian ecosystem. Implementation also involves appointing respective representatives to ensure initiatives run effectively, opening opportunities for startups and corporations from both countries. LLV considers the healthcare sector a top priority because the BSD City Special Economic Zone positions healthcare services as a focus of industrial development, creating a need for innovation and digital solutions. Bayu Seto, partner at LLV, emphasised collaboration opportunities between health startups, research institutions, and service providers to test and implement new technologies within the city ecosystem. Furthermore, artificial intelligence integration is seen as capable of accelerating diagnosis, patient data management, and operational efficiency, making AI a horizontal technology supporting various healthcare applications. With a funding approach that includes advisory services, LLV seeks to prepare Series A stage companies to have strong product-market fit before making direct investments. Data from the Financial Services Authority (OJK) shows an increase in venture capital funding and industry assets, reflecting increasingly strong liquidity flows in the Indonesian venture capital market. An environment more willing to provide capital gives LLV room to manoeuvre in allocating funds to high-potential sectors such as healthcare and AI without being hampered by financing constraints. Additionally, the growing scale of the venture market allows LLV to develop thematic funds such as the Japan Thematic Fund, which is sector-agnostic but targets companies with regional expansion potential. With a large funding base, LLV can offer not only capital, but also access to the Japanese market, strategic partnerships, and advisory services that strengthen the national innovation ecosystem.