MUFG Plans $500 Million Startup Fund With Liquidity Capital

Mitsubishi UFJ Financial Group Inc. is planning an equity fund of as much as $500 million with a partner to invest in mid- and late-stage tech startups in Asia, people familiar with the matter said.

Japan’s largest lender will provide the money for the fund, which will be set up under Mars Growth Capital Pte, a venture with Israeli tech lender Liquidity Capital, said the people who asked not to be identified before an official announcement.

The partnership wants to attract outside investors in future, they said.

The move is the latest by Japan’s banks to expand startup finance ...