"We will build an investment ladder where corporations discovered and nurtured by the Mother Fund meet the large-scale capital of the Public Growth Fund and leap into K-big tech corporations."
The Ministry of SMEs and Startups and the Financial Services Commission held the "Mother Fund–Public Growth Fund relay joint event" on the 23rd at Startup Venture Campus in Mapo District, Seoul (SVC Seoul).
The event was prepared to foster promising ventures and startups into global unicorn corporations by linking investments between the Mother Fund and the Public Growth Fund. The two ministries, policy finance institutions, related organizations, and private investors gathered in one place to share information on promising corporations and create a venue for cooperation to connect investment demand.
Following a kickoff meeting of the pan-ministerial growth corporation discovery council in May, the Financial Services Commission (FSC) worked with the Ministry of SMEs and Startups (MSS) to receive shared information on promising corporations that had been invested in and nurtured, and has pushed to ensure smooth linking of growth capital. At the event, a plan was discussed for private venture capital (VC) to select corporations among Mother Fund investees with strong growth potential and high need for large follow-on investment and connect them with the Public Growth Fund.
Attendees included Financial Services Commission Chair Lee Eog-weon and Ministry of SMEs and Startups First Vice Minister Noh Yong-seok, as well as industry groups such as the Korea Venture Capital Association and the Venture Business Association, related institutions including Korea Venture Investment Corporation, Korea Development Bank, Industrial Bank of Korea (IBK), and Korea Growth Investment Corporation (K-Growth), representatives of the five major financial groups, Mother Fund portfolio corporations, and management companies.
In opening remarks, Financial Services Commission Chair Lee Eog-weon said, "The success or failure of future industries is decided when industry and finance, corporations and investors move as one ecosystem," adding, "With this event as a starting point, we will secure continuity in the supply of large-scale capital and take the lead in removing on-site regulations and obstacles that block the growth of innovative corporations."
Ministry of SMEs and Startups First Vice Minister Noh Yong-seok said, "Today's event is the first step in a relay of investments between funds and a meaningful venue where the public and private sectors unite as one team to create a new link in our venture ecosystem," emphasizing, "We hope that innovative ventures and startups discovered by the Mother Fund will, through follow-on investment from the Public Growth Fund, find a practical springboard of linkage to leap into global big tech corporations."
In part one, the "relay roundtable," the Ministry of SMEs and Startups (MSS), the Financial Services Commission (FSC), Korea Venture Investment Corporation, Korea Development Bank, and other related agencies shared growth cases of Mother Fund portfolio corporations and discussed ways to vitalize linked investments between funds.
In a keynote presentation, Korea Venture Investment Corporation said 87% of domestic unicorn corporations grew with investments from the Mother Fund, and noted it plans to continue discovering corporations with growth potential and technological strength, centered on deep tech fields such as AI, defense, and bio, and link them with the Public Growth Fund.
As an operator of the Public Growth Fund, Korea Development Bank announced its scale-up investment performance and plans. As of the end of May, Korea Development Bank had approved equity investments of about 2 trillion won in three leading domestic AI corporations, and plans to complete the formation of policy funds such as scale-up funds within the year and move to full-fledged investment execution. It also said it would actively review follow-on investments in corporations recommended by the Mother Fund through the growth corporation discovery council, and fully launch a "policy finance relay" system linking the Mother Fund and the Public Growth Fund.
At the roundtable, representatives from promising corporations including Exina, Lion Robotics, Standard Energy, Bio Orchestra, and Lafique presented growth strategies and global expansion road maps in AI, defense, bio, Climate Tech, and K-beauty.
Participants shared the difficulties ventures and startups face in attracting large-scale investment beyond the early to mid-growth stages, and expected that a relay investment system connecting the Mother Fund and the Public Growth Fund would become a key foundation to drive a virtuous cycle in the venture investment ecosystem.
In part two, the "joint investor relations (IR)" session, 11 preselected promising deep tech corporations among the Mother Fund portfolio presented their corporate visions and value-up strategies to the Public Growth Fund secretariat, management companies, and financial sector officials, moving to attract follow-on investment.