The Korea Investment Corporation (KIC) is preparing to allocate between $100 million and $200 million to two or three Korean private equity firms, marking its first-ever mandates to local PE managers in the sovereign wealth fund’s nearly 20-year history.
According to sources, the capital will likely target firms specializing in cross-border M&A financing to support South Korean companies pursuing strategic expansion abroad. KIC is expected to release a request for proposals soon, with selections anticipated by November.
Established in 2005, KIC manages $206.5 billion for the Bank of Korea and the finance ministry but is restricted from investing domestically. Its upcoming allocation aims to diversify deal sourcing while strengthening Korean firms’ global competitiveness. Industry observers see the move as a milestone that could inject new momentum into the local private equity sector and bolster international reach.
Source: The Korea Economic Daily
