Incheon Free Economic Zone Authority Establishes 50 Billion Won Startup Park Fund... Focused Investment in AI and Mobility

The Incheon Free Economic Zone Authority announced on April 16 that it has established the 'Incheon Startup Park Fund No. 2' with a total size of 50 billion won to foster promising small and venture businesses.

This fund is a public-private partnership model in which the Incheon Free Economic Zone Authority makes its investment through Incheon Technopark, and a private venture capital (VC) firm operates as the General Partner (GP). The fund has attracted approximately 20 billion won more in private capital than the original target amount of 30 billion won.

The fund is scheduled to make investments through the 'Capstone 2026 AI Innovation Investment Association' managed by Capstone Partners, with plans to expand its investment scope to adjacent technology industries such as mobility and robotics, focusing primarily on artificial intelligence (AI).

Eligible investment targets are companies with headquarters, research institutes, or factories located within the Incheon Free Economic Zone, and must be less than seven years old in one of the four strategic sectors designated by the Incheon Free Economic Zone Authority: bio-healthcare, smart manufacturing, aviation convergence logistics, and knowledge tourism services. However, for new industries, companies up to ten years old will be considered.

Incheon Startup Park. Courtesy of Incheon Free Economic Zone Authority

The Incheon Free Economic Zone Authority has stipulated that at least 7.5 billion won of the fund's capital must be invested in promising companies within the Incheon Free Economic Zone. Previously, the 'Incheon Startup Park Fund No. 1,' which was established last year with a size of 59.5 billion won, has so far invested a total of 6 billion won in four companies within the Incheon Free Economic Zone.

Yoon Baekjin, Acting Commissioner (Deputy Commissioner) of the Incheon Free Economic Zone Authority, stated, "We will build an organic investment ecosystem that delivers a one-stop process from discovering companies to investment and growth support," adding, "In particular, we will focus on nurturing promising companies in AI and the four strategic industries to strengthen the foundation for the future growth of the regional economy."

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