SV Investment Forms 100 Billion KRW 'Gap Coverage 4' Fund

Investment Plans for Companies with Super-Gap Technologies
Considering Increase up to 150 Billion KRW

SV Investment has established a new blind fund. It is a follow-up to the major series fund ‘Gap Coverage’. Attention is focused on which portfolio will be secured in the new fund.

According to the investment banking (IB) industry on the 5th, SV Investment recently concluded the general meeting for the establishment of the ‘Gap Coverage Fund No.4’ with a scale of 100 billion KRW. The main limited partners (LPs) of the fund are the National Pension Service and the Korea Development Bank. Although initially raised at 100 billion KRW, multi-closing is also planned if there are LPs interested in investing.

The lead fund manager is Vice President Yoo Ji-hwa, head of the venture capital (VC) division. A graduate of Sogang University’s Department of Economics, he is a veteran venture capitalist who has worked at Korea Technology Finance and the venture finance office of Korea Development Bank Capital. Key operating personnel working closely with VP Yoo include Executive Director Oh Tak-geun and Director Jung Joo-wan.

SV Investment’s Gap Coverage series funds began in 2014. After establishing the ‘2014 SV-Growth Ladder Gap Coverage Fund’, they consecutively raised the ‘SV Gap Coverage Fund No.2’ in 2016, the ‘SV Gap Coverage Fund No.3’ at the end of 2019, and the ‘SV Gap Coverage Fund No.3-1’ in 2020.

Although the Gap Coverage Fund No.4 is the fifth in order, it was named No.4 considering that the previously established No.3 and No.3-1 funds were operated similarly. SV Investment plans to accelerate investments in companies possessing ‘Super Gap’ technologies through the No.4 fund. Follow-on investments in existing portfolio companies will be conducted alongside new investments.

Most of the Gap Coverage series funds managed by SV Investment have been raised with capital secured from the National Pension Service. The No.4 fund also includes the National Pension Service as an LP. Previously, the National Pension Service selected four institutions as entrusted venture fund managers at the end of November last year, including SV Investment, KB Investment, Partners Investment, and BNH Investment.

Meanwhile, SV Investment CEO Park Sung-ho recently met with Luhut Pandjaitan, Indonesia’s Coordinating Minister for Maritime Investment, in Seoul to discuss investments. The two sides talked about expanding investments in the entertainment and electric vehicle industries. Attention is also focused on early-stage company investment activities within Indonesia.

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