SparkLabs and Shinhan Capital form 10.1 billion won startup fund

SparkLabs announced on the 13th that it has formed the SparkLabs-Shinhan Opportunity No. 1 Investment Partnership with Shinhan Capital to identify and invest in promising Korean startups.

The fund has a total size of KRW 10.1 billion, with five companies—including Kwangdong Pharmaceutical, Youngone Holdings, SBS Media Holdings and HDS Asset Management—as well as individual investors participating as limited partners. Drawing on more than eight years of experience supporting promising startups in Korea and abroad, SparkLabs will manage the fund. Its goals include helping early-stage companies build global competitiveness and fostering an open innovation ecosystem to help businesses innovate faster. Co-manager Shinhan Capital plans to support portfolio companies by combining its accumulated venture investment expertise with the synergies of the Shinhan Financial Group.

The fund will invest in companies ranging from early-stage startups vetted by specialist support organizations, including those selected for SparkLabs’ accelerator program, to businesses already showing signs of growth. A key feature is that it can also invest through secondary share purchases in companies with proven core technologies and stable, rapid growth, particularly in biotechnology and healthcare, as well as manufacturing.

The fund’s co-managing partners are Jiyeon Moon, managing director at SparkLabs, and Donghwan Lee, head of the venture investment division at Shinhan Capital. Their backgrounds include serial entrepreneurship and startup acceleration; planning and evaluating R&D projects across industries and government agencies; and more than 20 years leading venture investments at Shinhan Capital, a key player in Shinhan Financial Group’s venture investment activities.

“By managing this fund with SparkLabs, which has supported the rapid growth of startups in Korea and abroad for many years, we will further strengthen our ability to identify promising early-stage companies,” said Donghwan Lee, head of Shinhan Capital’s venture investment division. “Beyond traditional financial investments, this fund will break new ground by sharing expertise in company sourcing, developing open innovation case studies, jointly developing new businesses and supporting CVC operations.”

“We will work with Shinhan Capital, which has helped energize startup investment in Korea through active venture investment and strong returns,” said Homin Kim, co-CEO of SparkLabs. “Combining the investment expertise, global networks and high-caliber accelerator programs of both firms with the industry knowledge of our limited partners—leading companies across a range of sectors—we will invest across the board. We will not only increase the value of portfolio companies but also actively support their expansion overseas.”