Shinhan Neoplux Forms 120 Billion KRW Fund to Support Innovative and SoBuJang Companies

Neoplux Launches First Fund with Group Company Investors After Joining Shinhan Financial Group
'Shinhan-Neo Market Frontier Investment Partnership No.2' Raised 100 Billion KRW to Support Innovation Ecosystem
'Shinhan-Neo Materials, Parts, and Equipment Investment Partnership' Raised 19.9 Billion KRW to Support SoBuJang-Related Companies

[Asia Economy Reporter Jo Gang-wook] Shinhan Financial Group announced on the 29th that its 17th subsidiary, Neoplux, has established two blind funds worth 120 billion KRW to foster companies with innovative technologies such as 4th industrial revolution core technologies, bio-health, and green new deal, as well as companies related to materials, parts, and equipment.

Neoplux, which was incorporated as a subsidiary of Shinhan Financial Group last September, is promoting various businesses related to venture investment together with major business lines within the group, including the Shinhan GIB division.

The two funds established this time are the first cases where Shinhan Financial Group companies participated as fund investors after Neoplux was incorporated into Shinhan Financial Group.

The “Shinhan-Neo Market Frontier Investment Association No. 2” fund, established with a scale of 100 billion KRW to invest in companies possessing innovative technologies such as 4th industrial revolution core technologies, bio-health, and green new deal, had Korea Growth Investment Corporation as a key investor contributing 20 billion KRW. Additionally, Shinhan GIB division invested 30 billion KRW, and Shinhan BNP Paribas Asset Management invested 2 billion KRW.

This fund was established in a hybrid method investing in both new and existing shares of innovative growth companies. Through this, it is expected to provide conditions that allow invested companies to focus more on their business during the process of growing into unicorn companies by simultaneously supporting the investment funds needed for growth and the restructuring of existing shareholder composition.

Also, the “Shinhan-Neo Materials, Parts, and Equipment Investment Association” fund, established with a scale of 19.9 billion KRW to invest in companies in the materials, parts, and equipment sector, had Korea Fund of Funds as a key investor contributing 10 billion KRW. Neoplux added 2 billion KRW, and Shinhan GIB division added 7.9 billion KRW.

Through this collaboration, Neoplux’s venture capital division’s assets under management (AUM) exceeded 500 billion KRW, and the total assets under management reached approximately 1 trillion KRW.

A Neoplux official said, "This fund establishment is significant as it is the first case of combining excellent investors and the group’s capabilities after Neoplux was incorporated into Shinhan Financial Group," adding, "We will continue to create synergy through collaboration with various investors and contribute to revitalizing the venture investment ecosystem, leading the discovery of new growth engines for the Republic of Korea."

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