Daesung Private Equity forms 110-billion-won metaverse fund

Industry

Published: 30 Nov. 2022, 19:08 Updated: 30 Nov. 2022, 19:10

Daesung Private Equity forms 110-billion-won metaverse fund

Daesung Private Equity held a signing ceremony for the establishment of its 110-billion-won ($83.5-million) Daesung Metaverse Scale-Up Fund on Tuesday at the company's headquarters in Gangnam District, southern Seoul. [DAESUNG GROUP]

Daesung Private Equity formed a 110-billion-won ($83.5-million) metaverse fund.

Named the “Daesung Metaverse Scale-Up Fund,” it is the largest fund dedicated to the metaverse in Korea, according to the investment company.

The 110-billion-won fund was established in conjunction with state-run Korea Venture Investment Corp.’s Korea Fund of Funds, with 60 billion won invested by the Industrial Bank of Korea, Shinhan Capital, Daesung Holdings, Daesung Energy, and Daesung Clean Energy.

Hur Yun-seok of Daesung Private Equity was named the representative manager of the fund. The fund is also the company’s largest fund ever.

Daesung Private Equity plans to invest in metaverse-related start-ups. The metaverse sector involves various digital technologies, such as extended reality (XR), blockchain and digital twins.

Daesung Private Equity has so far invested in local IT companies, including Krafton, Dunamu, RIDI, Shift Up, Riiid and Innosimulation.

Riiid, a Seoul-based education start-up, raised $175 million from SoftBank Vision Fund last year.

"Metaverse is already considered to be an industry-wide game changer rather than being simply a newly emerging field," said Daesung Group chairman Younghoon David Kim.

"Through this fund, Daesung Group will hold a strategic leadership position in the growth of the metaverse,” Kim added.

Daesung Private Equity runs a total of 16 funds, with 407.6 billion won under management.

BY SHIN HA-NEE [shin.hanee@joongang.co.kr]