KB Securities and Ecopro Partners were selected as co-general partners for the National Growth Fund's regional investment category. The announcement was made on the previous day by Korea Development Bank and Korea Growth Finance Investment Management. The selection enables the two firms to jointly operate a regional venture capital fund targeting local startups and ventures. Ecopro Partners, a venture capital firm affiliated with Ecopro, was chosen based on its consistent performance in regional fund management, while KB Securities became the first securities firm to serve as a general partner in the National Growth Fund's indirect investment policy fund category. Lee Yeon-su, head of Ecopro Partners' venture investment division and eldest daughter of Ecopro founder Lee Dong-chae, will lead the fund's operations. The fund will initially be structured at 100 billion won and can expand up to 200 billion won under National Growth Fund regulations that allow doubling the proposed fund size.
KB Securities and Ecopro Partners to Operate 100 Billion Won Regional Fund
The fund is planned to be established at 100 billion won in size. National Growth Fund regulations permit sub-funds to expand up to twice the originally proposed fund size, allowing KB Securities and Ecopro Partners to potentially increase the fund to 200 billion won. Industry observers expect strong demand from limited partners (LPs) interested in the National Growth Fund, making oversubscription likely. Lee Yeon-su and Kim Ji-su, a director at KB Securities, will serve as the fund's co-representative fund managers.
Ecopro Partners' Regional Investment Track Record
Ecopro Partners has built a track record in regional investments through the network of CEO Lee Jae-hoon, who previously served as a Technopark director. The firm's notable investments include Hanjung N.C.S., Sungil Hitech, and Mintech. The VC firm already operates multiple regional-focused funds. Regional investment funds face challenges in deal sourcing due to the prevalence of traditional manufacturing-based companies in local areas, according to industry participants. These factors contribute to lower returns and higher operational difficulty for regional investment funds.
Lee Yeon-su and Kim Ji-su Named Co-Fund Managers
Lee Yeon-su joined Ecopro Partners in July 2020 when the firm was established. She previously worked at Ecopro, Synergy Investment Advisory, and Daishin Securities. She currently serves as representative fund manager for five funds: Eco Open Innovation Fund No. 1, Eco ESG Fund No. 3, iSquare ESG Fund No. 2, Shinhan-iSquare Venture Investment Fund No. 1, and Shinhan-Eco Venture Investment Fund No. 2. This marks her first time managing a large-scale venture fund exceeding 100 billion won. Kim Ji-su heads KB Securities' New Technology Business Finance Department and has built a track record through consistent investments in the venture ecosystem.
KB Securities Becomes First Securities Firm Selected as National Growth Fund GP
KB Securities is the first securities firm to be selected as a general partner for the National Growth Fund's indirect investment policy fund. No securities firms were chosen as GPs in the first round of capital commitment completed in May. The selection reflects KB Securities' accumulated track record in venture ecosystem investments under the leadership of Kim Ji-su.
FAQ
What is the size of the fund that KB Securities and Ecopro Partners will operate?
The fund is planned to be established at 100 billion won and can expand up to 200 billion won under National Growth Fund regulations that allow sub-funds to double their originally proposed size.
Who will manage the National Growth Fund operated by KB Securities and Ecopro Partners?
Lee Yeon-su, head of Ecopro Partners' venture investment division, and Kim Ji-su, a director at KB Securities, will serve as co-representative fund managers for the fund.
What companies has Ecopro Partners invested in as part of its regional investment track record?
Ecopro Partners' notable regional investments include Hanjung N.C.S., Sungil Hitech, and Mintech.
