Korea Finance for Construction (K-FINCO) has opened a tender seeking an asset management firm for a 500 billion won (US$324 million) domestic private equity blind fund mandate.
The fund will have a five-year investment period and target an internal rate of return of 8%. The firm that wins the tender must contribute at least 2% of the total fund size, according to K-FINCO’s request for proposal on June 18.
The fund is expected to be set up within a year after the winning bidder is chosen.
Asset management firms bidding on the tender must be Korean registered with at least three years of experience managing domestic private equity investments.
Applications close on July 1 and the winning bidder is expected to be selected by the end of September.
K-FINCO provides financial services to the Korean construction industry, including guarantees, financing, bill discounting, mutual aid, and credit assessments, as well as training for construction professionals.
