KRAFTON India has joined forces with IMM Investment to become the anchor investor in the IMM India Fund, IMM Investment’s first dedicated fund in India. IMM Investment, a leading South Korean multi-asset investment firm, manages nearly $7 billion in assets, and this partnership marks a significant boost in international investment in India’s emerging markets.
KRAFTON India Anchors IMM Investment’s Maiden India Fund, Strengthening India-South Korea Investment Ties
Supporting Innovation Across Key Sectors in India
The IMM India Fund will prioritize investments in high-growth sectors such as consumer brands, consumer tech, SaaS, fintech, gaming and media, and deep tech. Aimed at growth-stage companies with clear IPO potential, this fund will support Indian businesses in their expansion efforts, fueling innovation and fostering long-term success. With KRAFTON India’s backing, IMM will leverage South Korean capital to provide Indian startups with the necessary resources and global expertise to scale.
Building on India’s Strong Digital Infrastructure
India’s digital transformation, including initiatives like UPI, India Stack, and ONDC, has created a fertile ground for startups to thrive. IMM India Fund intends to leverage these advancements to further bolster growth opportunities, particularly for companies that could benefit from South Korean expertise and investment.
Sean Hyunil Sohn, CEO of KRAFTON India, remarked, “Our partnership with IMM is a pivotal moment in supporting India’s startup ecosystem. We aim to bring additional South Korean capital, insights, and international perspectives into the Indian market, empowering startups in essential sectors to expand and excel on a global scale. This partnership aligns with the government’s ‘Invest India’ initiative, strengthening economic ties between India and South Korea.”
Backing Growth-Stage Companies for IPO Success
The fund is designed to help growth-stage companies that show strong potential for public market success, enabling them to pursue IPOs while maintaining profitable growth. This approach is particularly appealing to global investors and aims to provide the backing needed to elevate these companies to the next level.
Prakhar Khanduja, Managing Director of IMM Investment Corp., shared, “India has seen hypergrowth in its economy and startup ecosystem. The focus on profitability makes Indian startups highly attractive for public market exits. We are inspired by brands like Sugar Cosmetics, which has become one of the leading cosmetics brands in India by aligning its unique product offerings with the Gen Z demographic. These types of businesses represent strong investment opportunities, especially for global investors.”
First Investment: Sugar Cosmetics
The IMM India Fund’s first investment has been closed with Vellvette Lifestyle, the parent company of Sugar Cosmetics. Known for its rapid growth and strong market presence, Sugar Cosmetics represents IMM’s commitment to supporting promising Indian brands that have the potential to become industry leaders.
Expanding Reach Through a Fund-of-Funds Strategy
Beyond direct investments, KRAFTON India is also embracing a fund-of-funds (FOF) approach to broaden its reach into sectors beyond its core focus. This strategy allows KRAFTON India to tap into promising industries outside of gaming, expanding its investment portfolio to benefit from India’s diverse startup landscape. The company has already invested in VC funds like 3one4 Capital and Lumikai, and it is actively engaging other South Korean investors to bring even more resources to India’s thriving startup ecosystem.
As the IMM India Fund continues to grow, its goal is to support dynamic companies with strong growth trajectories, particularly those that cater to India’s unique market demands and demonstrate a clear path to success.
Stay tuned for more updates on the IMM India Fund’s ongoing investments and partnerships, as this initiative promises to bring exciting opportunities to India’s startup landscape.
