SK Group Chairman Chey Tae-won
South Korea’s third largest conglomerate SK Group is leading a private equity fund devoted to support nonprofit social enterprises engaged in projects to improve human and environmental well-being.
SK Group said Monday its nonprofit fund Happiness Foundation will chip in 4 billion won ($3.7 million) and KEB Hana Bank another 1 billion won as the seed money for the first PEF devoted to social enterprises. The fund will invite more investment from other institutions to expand to a scale of 13 billion won. IBK Securities Co. will manage the fund to help incubate social enterprises and spur their growth.
Unlike a typical for-profit PEF, the new fund will not only reward shareholders financially, but also give sense of contribution to improve social well-being. The first fund will invest in enterprises after study on the financial statement and social value.
By Kang Doo-soon and Lee Ha-yeon
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