This article was displayed on the ChosunBiz MoneyMove (MM) site at 2:57 p.m. on Mar. 12, 2026.
KG Capital, the financial affiliate of KG Group, is moving beyond its core auto installment finance (auto loans) business to make a full-fledged entry into the new technology business finance (venture finance) sector. The company has recently brought in a professional manager to spearhead the new business and reorganized its structure, signaling a push to become a comprehensive financial company.
According to the investment banking (IB) industry on the 12th, KG Capital, a subsidiary of KGINICIS, is currently proceeding with the registration process with financial authorities to obtain a new technology business finance license. It submitted the application in the second half of last year, and it is expected to secure the license as early as the first half of this year.
To drive the new business, KG Capital recently appointed Cho Jae-hyung, former CEO of MASON CAPITAL, as its new CEO. Cho is regarded as a veteran with experience and networks in new technology finance. Formerly head of IB at Daishin Securities, Cho led MASON CAPITAL from 2022, then naturally stepped down after the company was sold to The LEADCORP last year.
KG Capital's predecessor was SY Auto Capital, established as a joint venture between KB Capital and SsangYong Motor. In 2022, when KG Group acquired SsangYong Motor and changed its name to KG Mobility (KGM), SY Auto Capital also relaunched as KG Capital.
KG Capital's main business now is auto loans that lend against vehicles as collateral to buyers of new and used cars from KG Mobility. With a solid captive (intra-group sales) volume from KG Mobility, it has maintained a relatively stable revenue structure.
However, as competition in the auto installment finance market intensifies and risk management amid interest-rate volatility grows in importance, KG Capital is said to have felt the need to diversify its revenue sources.
After obtaining the venture finance license, KG Capital plans to deploy a wide range of investments from early startup rounds to pre-IPO investments. It has reportedly set a goal to first establish two blind funds, each worth 30 billion won.