#Weekly Funding Overview[Nov.13 ~ Nov.17]
The total funds raised by Korean startups of this week is KRW 48.4 Billion.
|E-Cataloging in publication
|Beauty brand accelerator
|KimGisa Lab, MegaStudy-Yoonmin-Mark Investment Association
|Miraeholdings, Rising S Ventures, Rowe Partners
|Spark Lab, CJ Investments, Magna Investments
|DCG, Hashkey Capital, GBV Capital, Samsung Next
|Murex Partners, DTR Partners, SK D&D, K-Bridge Investment, SGC Partners, IBK Industrial Bank, IAM, D3 Jubilee Partners, BNK Venture Investment & InterValue, Hyundai Marine & Fire Insurance
|The Ventures, FI private investment partnership
|New Paradigm Investment, Digital Daesung
|Sfermion, SM Culture Partners, Laguna Investments, KDDI Open Innovation Fund, Foresight Ventures, Reflexive Capital, Cooper Turley, Richard Ma, Michael Carter
|Intervest, ST Capital, Moru Asset Management, PathFinderH
- Caredoc, a senior care platform, attracts a 17 billion won investment. Starting as a caregiver matching service, CareDoc has expanded its business areas to home care services, visiting nursing care centers, and residential care. As of November, the cumulative transaction amount has surpassed 150 billion won. With the investment funds, the company plans to build a care workforce supply network and preempt locations for senior housing business.
- AI drug development company Oncocross secures a 14.5 billion won investment. With this investment, the company aims to proceed with the subsequent development of its major pipeline, having completed global Phase 1 clinical trials in Australia, with the goal of going public in the first half of next year.
- Blockchain-based entertainment startup Modhaus raises a 10 billion won investment. Operating the Cosmos platform, where fans can participate in decisions related to idol group operations, Mohaus provides tokens that allow voting on artist activities when fans purchase digital photocards, ensuring transparent voting processes.
Proptech Sectors Face Challenges Amidst a Downturn
The real estate and proptech sectors are navigating a challenging period in 2023, characterized by a tightening of fundraising conditions and the impact of a downturn in the real estate market. The investment landscape, which experienced a surge in recent years with the emergence of innovative proptech companies, has cooled due to the fluctuating investment landscape caused by the COVID-19 pandemic and broader economic uncertainties.
Investment inflow into the sector is projected to fall below 100 billion won in 2023, representing a significant decline from the previous year. While last year witnessed substantial investments in proptech companies, with some receiving as much as 200 billion won, there has been a notable lack of large-scale investments in 2023.
The focus of investment has shifted towards contech companies innovating the construction market, co-living services catering to the growing single-person household demographic, and startups specializing in spatial interior design and real estate management.
Traditional real estate brokerage and shared office platforms, once dominant investment targets, are now overshadowed by B2B companies smartening the construction market. Additionally, services digitizing the market using AI and IoT, catering to lifestyle-specific accommodations, space rebranding, and urban regeneration projects are attracting investor interest. Fintech combined with real estate (proptech) and companies emphasizing ESG management to create sustainable buildings are also receiving significant attention.
Despite the emergence of innovative solutions, the investment outlook for real estate/proptech companies remains cautious. According to a government survey, real estate startups have decreased by 47% in 2023 due to economic downturns. Recent data from a proptech forum publication further confirms a significant decline in investment activity.
Despite the challenging market conditions, domestic startups in the related field are exploring opportunities for expansion into global markets. The proptech industry remains in its early stages, and its future trajectory is likely to depend on the broader economic recovery.