South Korea’s Korea Development Bank (KDB) plans to create 100 billion won ($94 million) worth of intellectual property (IP) funds that aim at investing in small and mid-size businesses (SMBs) with promising intellectual properties such as copyrights and patents.  The KDB is expected to put the IP fund pool under the management of IP-related investment company Idea Bridge Asset Management. 
Aside from the KDB, other banks including Industrial Bank of Korea (IBK) and Woori Bank are also said to be considering investing in SMBs with prospective IP rights by creating IP funds. Woori Bank, for example, plans to develop a financial product through which it will provide 100 billion won assistance for SMBs that excel in advanced technologies. This is clearly good news for Korean ventures concentrating on high-tech industries.
Those SMBs, even when failing to meet eligibility criteria to receive funds, will be able to receive financial assistance from the funds if they demonstrate clear potential with outstanding IP assets. 
The creation of these new IP funds is certain to make IP-related assets a new investment instrument. 
IP funds, which deem IP as one of the most valuable assets for investment, are designed to provide financial assistance for companies with promising IP assets. 
The $25M worth of funds invested in Pantech-owned patents, created by the KDB last October, was the only private IP fund so far.

Related Article List

Daejeon-Dubai Business Nexus Marks Successful Conclusion, Showcasing Korea’s Entrepreneurial Prowess on the Global Stage 콘텐츠 IP 개발사 ‘디오리진’, 스위트홈 김칸비 작가와 신규 IP 개발 프로젝트 진행 산업은행, 14억 달러 규모 선박펀드 출시…역대 최대 규모 CHOWIS to Develop Customized Cosmetics Diagnostic Platform in Partnership with Kolmar Korea Korean Craft Beer Maker GGeek Company Wins Gold at 2024 International Beer Cup