Visions - Spring 2020 - 7

realize any results, but that is obvious. However, in the
near and midterm future, we can expect some exciting
results. Overall, the fund is doing well, and achieved what
we aimed for: helping us to work toward establishing new
types of business."

Investment Profile Highlight | BlueNalu

Niki said that discussions are underway about the fund
concept, and adjustments are expected, but their R&D
Fund activity has influenced other Sumitomo Corporation regions to follow the model, with similar investment
vehicles being established in Europe, Israel and Shanghai.
"The concept to fund this way could be expanding
globally, so we are considering this R&D Fund to work as
a global platform for identifying and connecting unique
technologies from startups on a worldwide basis. From
that point, we are now discussing the architecture of the
fund with an eye on the future and connection of our
regional offices." Additionally, Niki said that the current
investments do not have an exact expiration date and will
continue until the company structures are fully realized.
Seth Nishida, Senior Director in SCOA's Innovation
Promotion Group, said that the fund requires careful examination of certain criteria for investment consideration,
especially in the case of companies that position themselves as disrupters.
"We take a long look at five factors in all companies that
we consider," he elaborated, "four of which we have in
common with other investors in the venture capital world,
and one from our unique perspective. Firstly, we study the
management of the company, their founders and leaders.
The second is the existing investors. Third is the market
size, its potential growth, and scalability within the markets that these businesses want to disrupt. The fourth is
the technology itself. Finally, the fifth is a separate but vital
factor, which is: what can we bring
to the company as Sumitomo? What
"Finally, the fifth
could be the potential business
is a separate but
synergies with us? What can we
vital factor, which
bring to the table to increase the
is: what can we
value, and help disrupt the industry bring to the company
that they look to affect?"
as Sumitomo?"
Niki added that business groups must
put forth effort for their process to achieve success.
"That is essential," Niki said. "Startup companies have
limited human resources. A startup company can only do
so much, and Sumitomo needs to be in the game, putting
forth the effort to support them. We cannot take a 'wait
continued next page

BlueNalu, a leading innovative food company producing seafood directly from fish cells, can now deploy a new plan thanks to SCOA's
investment in their company: to develop a good manufacturing
practices (GMP) pilot production facility in San Diego, to expand its
team, to implement strategic alliances for global operations and
distribution, and to prepare for its market launch.
Headquartered in San Diego, California, BlueNalu is pioneering the
category of "cellular aquaculture" in which living cells are isolated
from fish tissue, placed into culture media for proliferation, and
then assembled into great-tasting fresh and frozen seafood products. Allowing consumers to enjoy seafood products in a way that
is healthy for people, humane for animals and sustainable for the
planet, this method of production looks to establish BlueNalu as a
leader in the future of food worldwide.
"In a time when consumers are increasingly more particular about
sustainability and safety related to their food products, we see
BlueNalu's technology will offer a sustainable solution to consumers, free of mercury and environmental contaminants, that will
support the health, sustainability and biodiversity of our ocean,"
said Hideki Hijiya, SCOA GM of Food & Lifestyle Group. "We look
forward to helping BlueNalu grow and achieve their production and
distribution goals so they can bring this important resource to every
corner of our planet."
With decades of experience in the food production and distribution
industry throughout the Americas, SCOA can help connect
BlueNalu with important industry relationships and provide access
to global markets. As a member of the United Nation's Global
Compact, SCOA is a strong supporter of BlueNalu's mission,
which is in direct alignment with the United Nation's Sustainable
Development Goals, directed towards the establishment of a
better and more sustainable future for our planet.
Sumitomo Corporation of Americas

Visions - Spring 2020

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