Opportunity to Secure 3 Billion KRW for Tech Innovation Companies... November Investment Briefing

Open Recruitment from 14th to 29th, 20 Companies Selected... Approximately 3 Billion KRW Investment Support per Company for 8 Years

Survey Results on Investment Demand for Technology Innovation Specialized Funds. (Source: Ministry of Trade, Industry and Energy)

[Asia Economy Reporter Moon Chaeseok] The Ministry of Trade, Industry and Energy announced on the 13th that it will recruit technology innovation companies seeking investment related to research and development (R&D) activities from the 14th to the 29th.

A total of 20 companies will be selected and given the opportunity to hold an investor relations (IR) presentation to technology innovation fund asset management companies in November.

Companies finally selected through the IR will receive R&D funds of around 3 billion KRW per company for up to 8 years in the form of equity acquisition from the asset management companies.

Eligibility requirements include companies with corporate research institutes engaged in manufacturing, companies with top grades in industrial R&D innovation performance and technology evaluation, among others.

Specifically, applicants must meet qualifications such as ▲ companies that have carried out R&D innovation performance within the last 3 years ▲ obtained a Technology Credit Rating (TCB) of grade 4 or higher within the last year ▲ accumulated venture capital (VC) investment of 2 billion KRW or more within the last 10 years ▲ sales of 10 billion KRW or more in the previous year.

This public recruitment is being conducted to discover companies eligible for investment by the technology innovation fund scheduled to be established by the government this year.

The technology innovation fund, established with a scale of 500 billion KRW over 3 years, is an R&D specialized fund created to support corporate R&D through private investment methods, and companies receiving investment must use the funds exclusively for R&D activities.

This year, Wonik Investment Partners, Smilegate Investment, POSCO Technology Investment, and Kiwoom Investment have been selected as asset management companies and will form a fund of approximately 160 billion KRW.

An official from the Ministry of Trade, Industry and Energy said, "This recruitment of technology innovation investment companies was promoted to encourage investment in companies' future innovative technologies despite the difficult market conditions caused by the COVID-19 pandemic."

He added, "It is meaningful in that it is an innovation technology investment fund targeting the manufacturing industry, which has recently been marginalized in the private market."

This content was produced with the assistance of AI translation services.