POSCO Chairman Choi Jeong-woo speaks at the 17th POSCO Idea Marketplace & Strategic Venture Fund Signing Ceremony at the POSCO Center in Seoul on May 21.
POSCO plans to plunk down on 1 trillion won to foster venture companies over the next six years. Under the stewardship of Chairman Choi Jeong-woo, who declared the new vision “With POSCO,” POSCO has stressed the importance of corporate social responsibilities.
POSCO announced a plan to operate the “POSCO Venture Platform” at the POSCO Center in Seoul on May 21. The business group signed MOUs with the Ministry of SMEs and Startups (MSS) and the Korea Venture Capital Association.
The POSCO Venture Platform calls for extending support to the growth of venture firms in all stages, ranging from foundation to nurturing to large-scale commercialization. POSCO will create venture valleys in Pohang, Gyeongsangbuk-do, and Gwangyang, Jeollanam-do where steelworks are located so that startups can conduct R&D, attract investments and exchange technologies.
POSCO will invest 200 billion won in creating venture valleys by 2022. The fund will be used to build infrastructure such as the Pohang Incubating Center and the Gwangyang Knowledge Industry Center, to install additional beam lines to a synchrotron radiation in Pohang, and to set up a data center. POSCO plans to nurture Pohang and Gwangyang into venture company R&D hubs by focusing on research on materials, energy and environment, development of bio/new drugs and smart city as well as smart factory buildup through the venture valleys.
A combined 1.2 trillion won will be raised for the venture fund in which POSCO will participate as a contributor. POSCO will pour 800 billion won while the remainder will be contributed by outside investors.
The Ministry of SMEs and Startups (MSS), using the experiences it has accumulated since 2005, contributes to the venture fund. The Korea Venture Capital Association will provide support in an effort to explore promising venture companies.
POSCO Chairman Choi Jeong-woo said POSCO will make effortS to reinvigorate the national venture eco-system by establishing a virtuous cycle of venture platform worth 1 trillion won, spur startups and create jobs. MSS Minister Park Young-sun said the MSS will provide proactive support so that a virtuous cycle of venture companies can be created to explore and nurture excellent startups through the fund contributed by POSCO, which will foster other companies after they have grown up.
POSCO Chairman Choi Jeong-woo, Minister Park Young-sun of the Ministry of SMEs and Startups, and Chairman Chung Sung-in of the Korea Venture Capital Association each hold a certificate of an MOU on venture fund after signing it at the POSCO Center in Seoul on May 21. (Photos: POSCO)
POSCO Pursues New Vision ‘With POSCO’ to Comply with Demands of Times
Under the stewardship of Chairman Choi Jeong-woo, who took office as ninth chairman, POSCO has come up with the new vision “With POSCO,” to ready itself with the new values that are needed to comply with the demands of modern times and seek new pathways toward a centennial company. It means that the company looks to co-exist and cohabitate as a member of society.
The vision calls for POSCO to pursue shared growth together with stakeholders such as shareholders, customers, contractors and cooperative companies, and regional communities.
POSCO is lending a helping hand to help SMEs establish themselves as mid-size superstars to provide assistance to local society as part its efforts to purse shared growth.
Last October, POSCO joined forces in signing a contract on narrowing wage differences between large- and small-sized companies through shared growth along with other members of the top eight conglomerates designated by the Korea Commission for Corporate Partnership (KCCP).
The agreement calls for enhancing the rationality of determining and paying contract unit prices to reduce wage differences and purse shared growth. It also calls for providing 6.2 trillion won in a fund to help SMEs over three years.
Among programs to extend financial support to SMEs are steps to support wages and welfare, raising solvency and financial support for stabilizing management.