Goyang Investment Promotion Agency Begins Full-Scale Nurturing of Future Unicorn Companies

Goyang Special City in Gyeonggi Province announced on the 7th that it is actively nurturing venture companies and attracting private investment through its city-affiliated investment promotion agency.

The Goyang Investment Promotion Agency, an internal organization of the Goyang Industry Promotion Agency, recently marked its first anniversary after beginning pilot operations in March of last year. Over the past year, the agency has achieved significant results, including attracting 4.6 billion won in follow-up investments for companies, signing seven business agreements, and securing 1 billion won in investments through fund creation.

Benchmarking the Ministry of SMEs and Startups' TIPS (Tech Incubator Program for Startup), the city invested a total of 510 million won last year through its 'Goyang-type TIPS' program. This program supports startups with new technologies by providing R&D funds that match city contributions with private investment.

As a result of providing up to 90 million won each in R&D funds to six companies in the ICT, bio, food industry, and information technology sectors, these companies successfully attracted a total of 4.6 billion won in follow-up private investment. They also achieved notable successes by securing 32 intellectual property rights and signing seven technology and marketing business agreements.

Among them, 'Deep.Plant,' a startup with a patented technology that improves the taste and texture of low-grade meat using artificial intelligence and deep-aging, received recognition for its technological prowess by winning first place at the '2024 Goyang TIPS Meetup & Networking Day' last November.

The city is continuing to nurture companies in future-oriented industries through the Goyang-type TIPS program this year. It plans to support four companies that have received over 100 million won in investment within the last two years, providing up to 100 million won per company (with a 20% matching fund from the company).

To support promising local companies and vitalize corporate attraction, the 'Goyang Step-Up Growth Fund No. 1' was also created. Last December, a fund totaling approximately 6.74 billion won, combining private and public capital, was formed, with Goyang City contributing 500 million won through its investment agency.

Through this fund, the city can now invest 1 billion won, twice the amount of its contribution, into local venture companies. Target companies for investment include those conducting national R&D projects or those with business models utilizing patents, utility models, or know-how from public research institutions.

This past January, the city specified its procedures for discovering and selecting companies by signing a fund management agreement with the Gyeonggi Center for Creative Economy & Innovation and VentureSquare Inc. In the second half of this year, it will continue to connect outstanding companies with investors through programs like the Goyang Step-Up IR and is also considering the creation of a 'Growth Fund No. 2.'

Currently, Goyang City operates four business incubation facilities to support the growth of startups. These facilities, which house about 40 companies, recorded sales of 54.1 billion won and employed 732 people as of 2023. The employment rate of Goyang citizens also reached approximately 44%, a 10% increase from the previous year.

This July, a new incubation facility will open as it relocates to the Seongsa Creative Innovation Campus. Spanning approximately 8,000 square meters, it will be equipped with essential spaces and amenities for startups, including basic office spaces, shared meeting rooms, IR rooms, and co-working spaces.

Mayor Lee Dong-hwan stated, "If we create a business-friendly industrial infrastructure by focusing on nurturing future industries, quality jobs will naturally follow. Centered around the Goyang Investment Promotion Agency, we will actively support the growth of startups and venture companies with innovative technologies to help drive the local economy."