LG Electronics Invests 100 Billion KRW with Mirae Asset in Promising Domestic and International Startups

Both parties each invest 50 billion KRW to create a new fund
Investing in electric vehicle ecosystem, digital healthcare, and data-related businesses

Cho Joo-wan, Vice President and CSO of LG Electronics (left), and Lee Man-hee, CEO of Mirae Asset Capital, are posing for a commemorative photo at the joint investment agreement ceremony held on the 29th at the Four Seasons Hotel in Jongno-gu, Seoul. Photo by LG Electronics

[Asia Economy Reporter Kim Heung-soon] LG Electronics is partnering with Mirae Asset Group to establish a new fund worth 100 billion KRW to invest in promising domestic and international startups.

On the 30th, LG Electronics announced that it held a 'New Growth Industry Joint Investment Agreement Ceremony' with Mirae Asset Group at the Four Seasons Hotel in Jongno-gu, Seoul, the previous day, deciding to each contribute 50 billion KRW to invest in startups with high growth potential both domestically and abroad.

The two companies stated that they plan to strategically invest in venture companies across various new business sectors such as the electric vehicle ecosystem, digital healthcare, and data-related businesses to quickly respond to the rapidly changing market environment. The goal is to discover growth engines for the future and promote open innovation that breaks down the boundaries between large corporations and venture companies. Mirae Asset Capital will manage the new fund, which has a duration of 10 years.

The 50 billion KRW that LG Electronics is investing in startups is the largest amount the company has ever committed to investment. Previously, to accelerate digital transformation, a major pillar of the 4th Industrial Revolution, LG Electronics invested in future businesses such as artificial intelligence, content, and autonomous driving, but the amounts were in the tens of billions of KRW range. Through this investment, the company expects to contribute to revitalizing the business ecosystem of venture companies and enhancing the dynamism of the economy.

Jo Joo-wan, Vice President and Chief Sustainability Officer (CSO) of LG Electronics, said, "We will focus our capabilities on core businesses where we can secure competitive advantages through selection and concentration, accelerate preparations for new businesses for future growth, and strengthen our business portfolio."

Meanwhile, LG Electronics added that to prepare for new businesses, it has introduced innovation processes such as internal ventures and Company-In-Company (CIC), and is continuously reviewing mergers and acquisitions (M&A), strategic cooperation, and investments to secure capabilities.

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