Recruitment of New Managers for 100 Billion KRW 'K-Bio and Vaccine Fund'

The Ministry of Health and Welfare announced on the 19th that it will recruit fund managers through Korea Venture Investment Corp. (the mother fund) by the 6th of next month to establish the 4th K-Bio·Vaccine Fund worth 100 billion KRW. The mother fund does not invest directly in companies but invests in funds formed by the private sector, and it is established with contributions from 10 ministries, including the Ministry of SMEs and Startups.

The K-Bio·Vaccine Fund is being established to create blockbuster-level new drugs and build an innovative ecosystem, in accordance with last year's announced 'Biohealth New Market Creation Strategy' and the '3rd Comprehensive Plan for Pharmaceutical and Bio Industry Promotion and Support.' To date, a total of 306.6 billion KRW has been finalized. The 1st fund (managed by Yuanta Investment) was established with 150 billion KRW, the 2nd fund (Premier Partners) with 156.6 billion KRW, and the 3rd fund (LSK Investment), worth 100 billion KRW, is currently being raised with a deadline at the end of October.

The newly established 4th fund will be worth 100 billion KRW, with the government contributing 40 billion KRW. To revitalize the investment market, the government will contribute the entire amount of 40 billion KRW regardless of the total fund size. A priority formation method is also allowed, where if at least 70% (70 billion KRW) of the target 100 billion KRW is raised, the fund manager can make early investments.

Jung Eun-young, Director of the Health Industry Policy Bureau at the Ministry of Health and Welfare, stated, "Despite the challenging investment environment this year, the K-Bio·Vaccine Fund has raised a total of 306.6 billion KRW, so we ask for the strong interest of fund managers with expertise in the pharmaceutical and bio sectors for the newly announced 4th fund." She added, "The Ministry plans to proceed smoothly with the establishment of the 5th fund following the 4th fund to raise a total of 600 billion KRW within this year. We will actively support the existing K-Bio·Vaccine Funds to serve as a catalyst that leads to actual investments and revitalizes the investment market in the pharmaceutical and bio sectors."

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