YJ Capital, a consolidated subsidiary of Japanese internet firm Z Holdings Corporation (ZHD), has merged with LINE Ventures to form Z Venture Capital (ZVC) and launched a 30 billion yen ($271 million) new fund called ZVC 1 Investment Partnership.

ZVC combines the corporate venture capital investment functions and activities of ZHD and LINE Corporation, and will transition to a new corporate structure under the ZHD Group, according to a statement on Thursday.

ZVC 1 Investment Partnership, which will be among the largest CVCs in Japan, will focus on investment opportunities in Japan and global markets such as South Korea, US, China, and Southeast Asia.

“In order to reinforce ZHD’s aim to become a world-leading AI tech company from Japan and Asia, we will create new value and synergies through the application of data and AI technologies. ZVC will actively invest in areas such as healthcare, cybersecurity, and B2B software, and in opportunities that complement ZHD’s three core business areas of commerce, media, and fintech,” ZHD said about its Japan investments.

The fund will invest across all stages, as well as create opportunities for business collaboration between its portfolio companies and the wider ZHD Group ecosystem, and support their overseas expansion.

When it comes to global investments, ZVC will take a flexible approach, based on local market trends and knowledge.

“ZVC is sector-agnostic but will strategically focus on sectors including consumer internet, e-commerce, fintech, and O2O/mobility. At the same time, ZVC will analyse the fields of AI, robotics, deep tech, and blockchain in advanced markets such as the US,” the statement added.

SoftBank’s ZHD started the operation Yahoo Japan 25 years ago. South Korean tech major Naver’s LINE Corporation was merged with ZHD on March 1, 2021.

ZHD said it anticipated achieving 2 trillion yen in revenue and an operating income of 225 billion yen by fiscal year 2023.