|
Laxman Pai, Opalesque Asia: The South Korea-focused private equity (PE) and venture capital (VC) industry has experienced accelerated growth, as its assets under management (AUM) reached a record $113bn as of December 2020, nearly doubling in two years, said a study.
According to the Preqin Alternative Assets in Asia-Pacific: Korea report, total dry powder in South Korea PEVC funds amounts to $37bn as of December 2020, up 76% from the year.
Buyout strategies make up 41% of total AUM, comparatively high for the Asia-Pacific market, and South Korea-based buyout funds raised a record $17bn in 2020, despite a challenging environment due to the pandemic.
South Korea, considered to be a mature economy for private equity and venture capital (PEVC) investments, is expected to see increased buyout activity, with additional investment opportunities emerging due to the government's plan to reform chaebol governance, ultimately allowing large conglomerates to set up corporate venture capital funds.
The report said that disruptive technologies continue to drive Korea's venture capital ecosystem, which saw a total of 871 transactions in 2020, up from only 308 in 2017.
The total deal value has climbed as a result, reaching $5.3bn in 2020 from $3.1bn in 2017. Korea boasts a vibrant venture capital ecosystem, one that has produced several unicorns across the technology space. The largest is currently Seoul-based mobile fintech platform Viva Republica, which has reached...................... To view our full article Click here
|
RSS
