KOTEC to Support Growth at Every Stage, from Identifying Seoul National University Deep-Tech Firms to Guarantees and Investment

[Financial News] Technology finance support is being strengthened to help technologies developed in university labs lead not only to startups but also to investment and initial public offerings (IPOs). Korea Technology Finance Corporation (KOTEC) and Seoul National University Technology Holdings will jointly identify promising deep-tech companies and provide support at each stage of growth, from guarantees and investment to technology protection and IPOs.
 According to industry sources on the 6th, KOTEC signed an MOU with Seoul National University Technology Holdings titled “MOU on Supporting the Growth of Innovative Startups and Deep-Tech Startups.”
 Under the agreement, Seoul National University Technology Holdings will identify university-based startups and deep-tech startups with strong growth potential and recommend them to KOTEC. KOTEC will provide financial support to the recommended companies, including guarantees, investment connections, and reductions in guarantee fees.
 The agreement also links companies to non-financial programs, including technology protection and escrow, consulting, and IPO support. The aim is to ease the difficulties faced during growth by early-stage companies that have technological capabilities but lack experience in raising funds or commercializing their technologies.
 The two institutions are also considering joint and follow-on investments in promising companies. They plan to expand their cooperation from identifying companies to supporting their growth by linking the support programs each institution operates, sharing company information, and building networks.
 “Deep-tech companies alumni- and university-based that possess promising technologies need sufficient capital and long-term support to grow,” said Cha In-hwan, CEO of Seoul National University Technology Holdings. “We expect KOTEC’s support, including technology guarantees and follow-on investment, to greatly help companies grow.”
 “This agreement will help strengthen a virtuous cycle in which outstanding university research and development (R&D) results lead to technology-based startups and business growth,” said Lee Sang-chang, a director at KOTEC. “We will continue to actively identify innovative technology companies that can become future growth engines and support their growth.”
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