Venture Capital - Malaysian Technology Development Corporation

The Right Catalyst...
Malaysian Technology Development
Corporation (MTDC) was set up by the
Government of Malaysia in 1992 to
spearhead the development of
technology businesses in Malaysia. Its
initial role was to promote and
commercialise local research and invest
in ventures that can bring in new
technologies from abroad.
Since the 7th Malaysia Plan, MTDC has
been instrumental in the development
of technology companies and
commercialisation of new technologies.
MTDC has now evolved to become an
Integrated Venture Capital Solutions
Provider - successfully managing
grants,
venture
capital
funds,
technology centres and nurturing
technology companies.
Under the 10th Malaysia Plan, the role
of MTDC had been expanded to create
an
effective
ecosystem
for
commercialisation of homegrown
technologies – to groom a new
generation of Technopreneurs through
comprehensive nurturing services that
support them all the way from laboratory
ideas to full commercialisation.
The right mix of dedication, knowledge,
technology, innovation, conviction,
support, investments and nurturing
makes MTDC a Complete Equation...
creating value and accelerating
economic growth for the Nation.
The Right
Conviction...
The Right Values...
Vision
To be the leading Integrated Venture
Capital Solutions Provider, building world
class Malaysian technology companies
through strategic partnerships.
Integrity
We demonstrate respect, honesty
and transparency in all our
interactions and operations.
Mission
To Create, Nurture and Promote
technology companies in strategic
thrust areas.
Professionalism
We strive for quality and excellence
in the provision of our services.
To promote high performance culture,
through employee capability building.
Teamwork
We work together as one –
supporting each other, our partners
and funding recipients.
Openness
& Creativity
We are open to the possibilities of
Technology Development.
Performance
Driven
We focus on the achievement of
results and outcomes.
To maximise shareholder returns.
The Right Support...
Grant Management
Through the Technology Development Programme established since the 7th
Malaysia Plan, the Government had entrusted MTDC with the management of two
grants. These grants provide support to local companies, helping them to enhance
technology content, increase capacity, capability and competitiveness:
Technology Acquisition Fund (TAF)
This Fund was established to facilitate
the acquisition of strategic, proven
foreign technology for immediate
implementation into existing business.
The Fund provides the right support to
Malaysian companies, enabling them to
enhance their technology level and
production processes through the
acquisition of new technologies.
Commercialisation of R&D Fund
(CRDF)
The CRDF provides added stimuli for
the right innovation among Malaysianowned companies, by providing partial
grants to qualified R&D projects. These
grants will enable full commercialisation
of home-grown R&D, developed by
local universities/research institutions or
the private sector.
The Right Investments...
Venture Capital
MTDC manages RM1billion non-ICT
Venture Capital Fund on behalf of the
Government of Malaysia.
Through this Fund, MTDC invests in
developing companies as well as late
stage, high-technology companies at
both domestic and International levels.
The primary focus of this Fund is life
sciences/biotechnology,
advanced
materials, advanced manufacturing and
nanotechnology sectors.
Since 2004, MTDC has invested more
than half a billion Ringgit Malaysia, in
high-technology companies both in
Malaysia and abroad.
In 2006, the Malaysian Life Sciences
Capital Fund (MLSCF) was established,
specialising in early stage investments
in agriculture, industrial and healthcare
biotechnology.
Malaysian Life Sciences Capital
Fund (MLSCF)
MTDC specifically nurtures the
development of the Nation’s biotechnology
sector through the Malaysian Life
Sciences Capital Fund (MLSCF).
Established in 2006, this Fund currently
has US$162 million in committed
capital and is Malaysia’s first
biotechnology venture capital fund.
Through MLSCF, MTDC invests in early
stage agriculture, industrial and
healthcare biotechnology companies,
to yield superior financial results,
advancing the Life Sciences Ecosystem.
MLSCF is co-managed with Burrill &
Company, a merchant bank specialising
in life sciences based in San Francisco,
California.
The Right Nurturing...
Incubator Management
MTDC has created a vibrant
entrepreneurial ecosystem by providing
infrastructure and nurturing services,
to guide start-up companies from
conception
of
ideas
to
full
commercialisation. This is achieved
through its Technology Development
Cluster Programme (TDC).
Technology
Development Cluster
Programme (TDC)
The TDC was designed to strengthen
links between universities/research
institutions and industries. The main
objective is to activate and promote the
acceleration of commercialisation
activities of universities and research
institutions, on local and global stages.
MTDC Technology Centres
MTDC was the first entity in Malaysia to
set up a University based technology
centre in the mid 90s. It has established
four technology centres, with a
combined coverage of 345,000 square
feet lettable area:
•
UPM-MTDC Technology Centre
– focuses on Biotechnology &
ICT
•
UKM-MTDC Technology Centre
– focuses on Biotechnology
•
UTM-MTDC Technology Centre
– focuses on Life Sciences &
Advanced Engineering
•
FRIM-MTDC Technology Centre
– focuses on Life Sciences &
Herbal Products
MTDC’s latest partnership is with UiTM,
which will focus on innovation, industrial
products, Art & Design.
These Technology Centres enable
academia and industry to collaborate
and leverage on each other’s strengths
whilst accelerating commercialisation
activities.
The achievements of these Technology
Centres are evidenced by the:
• Creation of job opportunities for
knowledge-based workers
• Increased penetration of Malaysian
made products, overseas
• Facilitation and the creation of
Intellectual Property and their
successful commercialisation
Nurturing & Grooming Technopreneurs
The Technology Centres create a favorable growth environment for young
technology companies by providing shared facilities, structured integrated services,
grooming and mentoring programmes.
MTDC provides value added services to enhance hard and soft skills of companies
through continuous comprehensive programmes.
The objectives of the value added services are to:
• provide additional and holistic support to ensure higher rate of successful
commercialisation
• forge and increase Industry-University collaboration
• nurture companies in undertaking technology development projects
• assist local technology-based companies especially in biotechnology and
agriculture in securing more business opportunities
• provide companies with links to other relevant Government agencies
The Right Programmes...
To create awareness and promote
commercialisation in the country, MTDC
continuously conducts programmes
with local universities and research
institutions. These include evaluation of
technologies developed by the Public
Sector to ascertain “market readiness”
and
commercial
potentials.
Recommendations
made
on
technologies will help the universities
decide on the best commercialisation
pathway.
MTDC
also
offers
Graduate
Entrepreneurship Programme where
young graduates are selected and
groomed to lead spin-off companies
located in MTDC’s Technology Centres
to commercialise selected R&D
projects. Commercialisation Workshops
based on modules licensed from
University of Texas, Austin are
conducted nationwide by MTDC for
technology transfer/licensing officers,
researchers, policymakers and other
personnel involved in commercialisation
activities.
MTDC’s Latest Funding Programme Offerings
Business Growth Fund (BGF)
Under the 10th Malaysia Plan, reflective of the Government’s confidence in MTDC,
the YAB Prime Minister had announced two new Funding Programmes, totaling
RM250 million to be managed by MTDC.
The BGF is designed to bridge the
financing gap between the early stage
of commercialisation and venture capital
financing
for
high
technology
companies.
Business Startup Fund (BSF)
The fund was announced by the Prime
Minister during the 2011 Budget
Speech. BSF is a special fund to
develop entrepreneurship and new
start-up technology based companies
by providing funding without collateral.
The fund is designed to support and
encourage entrepreneurship and the
creation of new strategic businesses
that are important and potentially
scalable.
These companies are only required to
pay back upon generation of income.
For the aforesaid purpose an amount of
RM100 million has been allocated to
MTDC.
The main objective of BSF is to
encourage the growth and development
of new entrepreneurs in strategic and
growth potential areas. This will
encourage innovation and enhance
participation of new companies in
technology based areas.
The fund seeks to accelerate
development of local high-tech
companies by providing funding for the
“last
mile”
of
R&D
and
commercialisation value chain. It
ensures that recipients are adequately
capitalised during their crucial formative
years to build a business track record
thereby attracting follow-on financing
from other VCs and financing sources,
to become full-fledged commercial
enterprises.
The Right Innovation...
Through its integrated services, MTDC
plays an important role as the facilitator
of “Technology Adoption” in Malaysia in
line with the Nation’s objective to create
an innovation-based economy.
The seamless integration of its principal
activities ensures that start-up
companies and Technopreneurs receive
a full complement of support – from
financial assistance to value-added
services and infrastructure.
Over the years, MTDC has honed its
expertise in the art and science of
grooming entrepreneurs and nurturing
companies. It has helped hundreds of
Malaysian start-ups through their
difficult early years, yielding a track
record of success from sales to
company expansion and intellectual
property (IP) rights.
Working hand in hand with the new
generation of technology entrepreneurs
with the right innovation, MTDC is the
Complete Equation to forge the way to
the future of Malaysia as a developed
Nation.