Motion Ventures, a Singapore-based maritime venture firm, has launched a new $100 million fund. The firm claims it is the largest maritime-focused tech fund to date. The new fund, called Motion Ventures Fund II, plans to invest between $250,000 and $10 million in at least 25 companies over the next 18 to 24 months.
It will focus on technologies that drive digitalization and decarbonization within the global maritime supply chain. The fund has already raised more than half of its target amount, and made initial investments in two companies.
This new fund also expands Motion Ventures’ strategic backing to include more than 17 industry corporations. The firm states this makes it the largest consortium for the maritime value chain. Motion Ventures founder Shaun Hon emphasized the importance of the new fund in fostering innovation within the maritime industry.
“Our goal is to accelerate the adoption of groundbreaking technologies that will transform the maritime supply chain. Fund II allows us to support more companies and drive substantial change,” he said. The launch of this fund highlights the growing interest and investment in maritime technology.
This technology is crucial for addressing industry challenges such as sustainability and efficiency. The commercial shipping sector is under pressure to digitalize and decarbonize. Modernizing the world’s maritime fleets is far from plain sailing.
Motion Ventures’ new maritime tech fund
While commercial shipping requires substantial investment to bring boats into the digital age and drive decarbonization, a growing ecosystem of technology-driven startups hopes to contribute to this transition. The new $100 million fund from Motion Ventures promises to accelerate many of these enterprises.
Motion Ventures’ first maritime fund, a $22 million vehicle launched in 2021, primarily focused on software solutions for the maritime sector. Innovation in hardware often requires larger upfront investment, Hon points out. “Our second fund will offer investments of anywhere from $250,000 to $10 million,” he says.
The venture capital firm has also assembled an industry consortium comprising 17 large maritime companies that can offer startups advice and support on new innovations. In many cases, these companies may become customers. “Very often, the solutions we’re now seeing require industry buy-in if they are to be viable,” Hon says.
Motion Ventures Fund II has already made three investments. It has taken stakes in OceanScore, a specialist in emissions data, Fernride, which develops autonomous vehicles for ports, and a third business yet to be disclosed. Hon expects to build the fund’s portfolio to around 25 maritime businesses over the next few years.
The fund will focus on technologies aimed at digitizing and decarbonizing the global maritime supply chain, which could potentially impact international seafood transportation and logistics. The movement to modernize the maritime industry comes at a critical time as global shipping faces increasing pressures to reduce carbon emissions and improve efficiency through digital solutions.
The substantial financial backing signals strong investor confidence in the firm’s vision and the potential of maritime technology advancements to transform the industry.
Photo by NOAA on Unsplash
