[StartupRecipe] Sustainability funding rises despite investment crisis

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#Weekly Funding Overview

[July. 17~ July. 21]

The total funds raised by Korean startups of this week is KRW 277 billion.

Company	Industry	Amount	Round	Investors
Mofin	Fintech	-	Grant	TIPS
Dayoff Company	Travel commerce	-	Seed	GS Retail, CNT Tech
TionlabTherapeutics	Bio	-	Seed	Series Ventures
DaL LaLa Network	Entertainment	-	Pre-Series A	CNTTech
Gosu plus	Housing rental	700 million	Pre-Series A Bridge	Honest Ventures, MYSC
Robros	Service Robot	1.6 billion	Seed	Stick Ventures, Primer Sazze, GS Retail
Enliple	Bigdata	3 billion		Honest Ventures
Nine AM	Creator Business	-	Grant	TIPS
AGENCORE	Military Industry	-	Grant	Scaleup TIPS
MxT Biotech	Bio	-	Grant	Scaleup TIPS
Greyscale	Senior Care	-	Grant	TIPS
Playtag	Behavior analytics	-	Grant	Scaleup TIPS
RIDUCK	Sports	-	Seed	Digital Healthcare Partners
Uglyus	Food commerce	1.9 billion	Pre-Series A	Springcamp, Smilegate Investments, KODIT, Capstone Partners, Thanks Ventures
Musinsa	Fashion	200 billion	Series C	KKR, Wellington Management
Indent Corporation	Marketing Solution	2 billion	Series A	KOSMES
Atostudy	Studyroom brand	4.5 billion	Series A	Hana Ventures, Koramco Asset Management
Mirrorboard	Social Network	-	Grant	TIPS
Tada	Ride hailing	-	M&A	The swing
Moty	Digital weight machine	-	Seed	Korea Investment Accelerator
Jeclean	Bed upcycling	-		MYSC
Dreamo	Game	1.1 billion		Kona Ventures, Kakao Ventures
Green Mineral	Battery recycling	5 billion	Series A bridge	D3Jubilee Partners, GS Ventures, Daekyo Investment, Mirae Asset Capital, Capital One
Sendy	Freight transportation	6 billion	Series B	Korea Develpoment Bank, BNK Venture Investment, Shinhan Asset Management
MINTECH	Battery	14 billion	Pre-IPO	Posco Capital, LG Energy Solution, EcoPro Partners Group, KB Securities
Challengersgames	Game	4 billion	Pre-Series A	Knet-Crit content investment association
Blackstorm	Game	15 billion		Korea Investment Partners, Atinum Investment
Pyler	Brand Safety Solution	5.5 billion	Series A	Medici Investment, Glonet Venture Partners, IBK Industrial Bank, IBK Capital, WON & Partners
Skyplay	P2E	12.7 billion		LDA Capital
Avirtual	Eco energy	-	Grant	TIPS

Major Funding

• Fashion plaform Musinsa has attracted over KRW 200 billion in investments, leading to an increase in the company’s value to around KRW 3 trillion which is KRW 1 trillion higher than before. The success factors for this investment, made in just two years, include the potential for global expansion and the expansion of their in-house brand, Musinsa Standard, resulting in increased sales.
• Game development company Blackstorm secured KRW 15 billion in investments. The key to their investment success lies in the company’s core developers who participated in developing major games, showcasing their talent and capabilities.
• Battery company Mintech received KRW 14 billion in investments. As a company specializing in electric vehicle and ESS battery testing and diagnostics, they offer solutions spanning the entire lifecycle of batteries, from production to waste batteries. They aim to be listed on the KOSDAQ within this year.
• Green Mineral attracted KRW 5 billion in investments. They have developed a technology that uses microalgae, specifically Chlorella, to recycle lithium from waste batteries. The investment funds will be utilized to scale up the lithium extraction process through pilot facility expansion and other plans.

#Trend Analysis

Sustainability funding rises despite investment crisis

Startups focused on creating a sustainable society are experiencing rapid growth worldwide, driven by the increasing awareness of the climate crisis. As a result, investments in these related startups are also on the rise in Korea. Despite the ongoing downturn in overall investment trends, there is a rising trend in the number of investments directed towards sustainable startups. Large corporations, in line with the prominence of ESG management, are actively investing in or collaborating with startups to swiftly transition to sustainable services and adapt to the changing landscape.

Among various fields, environmentally friendly energy/battery solutions, waste management solutions, cultured meat, and eco-friendly materials are attracting significant interest from investors.

This year, the waste management solutions sector received the most substantial investment funds. Companies involved in collecting, transporting, and processing various types of waste are leading the industry’s transformation by employing advanced technologies to monitor waste volumes, carbon emissions, and track waste movement routes in real-time. Through these efforts, they are not only reducing costs but also addressing critical waste-related issues.

Energy efficiency companies are also attracting considerable funding. Startups offering solutions to enhance energy efficiency in buildings and industrial facilities, utilizing IoT-based sensors to provide real-time energy consumption information and optimize user energy usage, are prominent examples. Additionally, services that recycle or treat waste batteries are also gaining significant attention.

In the cultured meat and alternative protein sectors, early-stage startups are receiving substantial capital influx. Although some startups have succeeded in securing large-scale investments, the reduced global investments in cultured meat can be attributed to the time required for technological development, infrastructure establishment, and public acceptance. Moreover, investments are being made in startups focusing on eco-friendly material development, eco-friendly packaging, upcycling, and other related fields.

With the growing social interest in sustainability, government support for ESG company transformations, stronger global environmental regulations, and an emphasis on corporate risk management, the role of these startups in driving positive change is expected to expand further. In the long term, investor interest is likely to continue gravitating towards sustainable startups offering stability and a brighter future for our planet.

Company	Description	Amount	Round
Energy X	Energy Efficiency	200 Billion	Series B
Cell meat	Cultured meat	174 Billion	Series A
Ecubelabs	Waste Management	150 Billion	Series C
Reco	Waste Management	145 Billion	Series B Bridge
Mintech	Battery	140 Billion	Pre IPO
Green mineral	Battery recycling	50 Billion	Series A Bridge
Rootenergy	Green Energy	45 Billion	Series A
Kevinlab	Energy Efficiency	35 Billion	Pre Series A