POSCO Establishes 50 Billion KRW 'CVC Fund' to Invest in Future Innovation Technologies

Transition to Carbon and Smart Manufacturing Processes
Strategic Investment to Secure New Business Opportunities
Focused Discovery and Nurturing of Core Technology Ventures

On August 20, POSCO announced that it will establish the "POSCO Corporate Venture Capital (CVC) Fund No. 1" with a total size of 50 billion KRW to respond to paradigm shifts in the global steel industry and secure opportunities for future new businesses. POSCO will contribute 40 billion KRW, and POSCO Technology Investment will contribute 10 billion KRW. The inaugural general meeting for the fund is scheduled for August 29.

The POSCO CVC Fund No. 1 will focus on investing in venture companies that possess core technologies aligned with POSCO's future growth strategies, such as digital transformation (DX), energy savings, carbon reduction, and renewable energy. Twenty percent of the total fund will also be invested in promising overseas venture companies, further strengthening ties with the global innovation ecosystem.

POSCO plans to discover promising venture companies that can lead future innovation technologies by evaluating factors such as technological value, financial structure, and strategic fit through a multifaceted verification process.

Various forms of collaboration will be possible between POSCO and the investee companies, including joint R&D and demonstration projects, as well as the direct adoption of the investee companies' products and technologies by POSCO's business divisions. Through these efforts, POSCO aims to maximize synergy with investee companies and accelerate the acquisition of new growth engines and the strengthening of business competitiveness.

The fund will be managed by POSCO Technology Investment, which has a high level of understanding and expertise in POSCO's business, with the goal of identifying and nurturing venture companies that can be linked to POSCO's future growth strategies.

A POSCO representative stated, "Through the establishment of CVC Fund No. 1, we will strengthen cooperation with venture companies that possess future promising technologies with strong strategic relevance, such as AI, energy transition, and decarbonization," adding, "We will actively invest to accelerate POSCO's low-carbon and smart manufacturing process innovation and to secure sustainable new growth engines."

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