The Korea Federation of SMEs, or KBIZ, has opened a tender seeking as many as ten Korean asset managers for a 200 billion won (US$133 million) domestic venture capital fund mandate.
The fund, which will have a five-year investment period, will invest in new technology partnerships, targeting an internal rate of return of 7%, according to the group’s request for proposal on May 15.
Asset management firms bidding on the tender must be experienced in managing alternative investments for Korean institutional investors. Their chief executive officers and key personnel must also not have been served with disciplinary warnings by regulatory authorities over the past five years.
Applications are open until June 5. The winning bidders will be chosen in August and the venture capital fund is expected to be set up within six months after that.
KBIZ was established in 1962 to safeguard the rights and interests of around 3.55 million small and mid-sized enterprises in Korea.
