NPS selects four Korean VCs to invest 150 bn won

The pension fund eyes to venture capital investment as some Korean ventures go IPO successfully with growing corporate value

The National Pension Service Investment Management
The National Pension Service Investment Management
Jae-fu Kim 1
2021-11-09 11:40:22 hu@hankyung.com
Pension funds

The National Pension Service (NPS) of South Korea said on Nov. 9 it has selected the venture capital firms that will entrust the pension fund’s 150 billion won ($127.2 million). Four Seoul-headquartered venture capital companies, SL Investment Co., DSC Investment Inc., Stonebridge Ventures Inc. and Mirae Asset Venture Investment Co., have been chosen.  
 
NPS will commit 30 billion to 60 billion won to each venture capital firm, investing 40% or less of each venture fund's commitment. The newly-created venture funds will have a combined worth of 400 billion won. Each VC will also invest at least 2% of the total commitment of each venture fund, of which maturity and the investment period are eight and four years, respectively. 

The pension fund is expanding investment in the venture sector as the recent listings of Korean startups and venture companies increase and the return on investment is getting higher. Venture companies such as K-pop group BTS’ entertainment agency Hybe Co. in October last year and online game company Krafton Inc. in August this year were successfully listed, and Softbank-backed travel accommodation platform Yanolja Inc. has been recognized for its corporate value of about 10 trillion won.

NPS’ venture assets, around 900 billion won in 2020, are expected to exceed 1 trillion won within this year.

Write to Jae-fu Kim at hu@hankyung.com
Jihyun Kim edited this article.
#VC #IPO #LP

KIC says to boost VC deals to lift long-term returns

KIC says to boost VC deals to lift long-term returns

San Francisco (Photo: Getty Images Bank) The Korea Investment Corporation (KIC) will step up venture capital investments in North America to lift its long-term returns, the sovereign wealth fund told South Korean lawmakers.In a report prepared for its annual audit this month, KIC said it will e

NPS makes new commitments worth $17 bn in private sector every year

NPS makes new commitments worth $17 bn in private sector every year

Choe Hyung Don, head of the pritave equity and venture capital investment division of NPS, talks in ASK 2021 South Korea's National Pension Service (NPS) plans to keep increasing private equity investment for mid- to-long term asset allocation, Choe Hyung Don, head of the private equity and ven

Blockbuster startup IPOs curb NPS' VC diversification

Blockbuster startup IPOs curb NPS' VC diversification

Krafton of PlayerUnknown’s Battlegrounds (PUBG) listed on Kospi on Aug. 10 South Korean startups' blockbuster initial public offerings over the past year, including Krafton Inc. and HYBE Co., have left the National Pension Service (NPS) in a tricky situation. The pool of qualified venture
(* comment hide *}