Daegu Gyeongbuk Institute of Science and Technology (DGIST) holding company DGIST Technology Holding is forming an investment association of about 2 billion won for the first time since its establishment and will invest in early-stage deep tech firms and campus startups.

DGIST said on July 31 that DGIST Technology Holding held a general meeting to form the investment association and will begin full-scale investment activity.

The fund will focus its investments on faculty and researcher startups and promising early-stage deep tech firms in national strategic technology areas such as AI, robotics, advanced semiconductors and bio-healthcare.

DGIST Technology Holding will also run a growth acceleration network linked to major domestic venture capital firms and startup support organisations at science and technology institutes so portfolio companies can grow to Series A and B follow-on investment stages.

For researcher-founded startups that have technology but lack management experience, it will connect them with external professional managers and provide a company-building programme supporting the full process from establishment to growth. It also plans to link this with its own deep tech venture studio programme to raise investment effectiveness.

DGIST Technology Holding plans to build an initial investment portfolio through its first fund and then gradually expand the fund size by using policy-backed capital programmes such as the government's fund of funds. It will also pursue follow-on support so portfolio companies can be selected for TIPS, a private investment-led technology startup support programme.

Goo Jae-hyung (구재형), co-CEO of DGIST Technology Holding, said it will link the technology transfer and commercialisation support function of the Innovation Startup Institute with the holding firm's investment function so strong on-campus research outcomes can lead to startups and investment.

Choi Moon-jong (최문종), co-CEO, said it will use the first fund formation as a catalyst to build a virtuous cycle of industry-academia cooperation so DGIST research outcomes can become new growth engines for the regional economy in Daegu and North Gyeongsang Province.