Korea Post’s insurance arm will commit $50 million to Chicago-based Adams Street Partners LLC for its first overseas venture capital investment, according to a local media report on Jan. 3.
Adams Street, a private markets investment company, will manage the committed capital through a VC fund of fund (FoF), or a separately managed account, edaily said, citing a Korea Post source as saying.
The target net IRR is 10% or above for a four-year investment period, with North America and early-stage start-up companies accounting for at least half of the portfolio.
Korea Post wants to invest more than half of its commitment in start-up firms via FoFs, while putting the remainder directly in growth-stage venture capital firms.
The total commitment amount may change, depending on the performance of Adams Street, the Korea Post source added.
The news came after Adams Street announced the closing of its 2018 global fund with $824 million in capital commitments in December, 2018.
It was not immediately known whether Korea Post’s commitment was made for the latest fund.
Korea Investment & Securities Co. Ltd. handed the domestic sale of the VC fund of Adams Street which manages more than $35 billion of assets. It opened its 10th office in Seoul in late 2017.
<Edited by Yeonhee Kim>
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