Yellow Umbrella will invest up to 100 billion won ($83.4 million) in a blind-pool domestic real estate fund, The Korea Economy Daily (KED) reported on June 8, citing finance industry sources.
KED said the South Korea’s mutual aid association for small and mid-sized business owners would receive investment proposals by June 22 from companies that hope to manage the fund.
Yellow Umbrella is planning to select a management company through document screening and on-site inspection. Only companies that have received a letter of intent to invest in the fund from other domestic institutional investors are eligible to apply. The selected management company is obligated to invest at least 1 billion won in the fund.
The management company should set up the fund by the end of this year and conclude its investment within one year after the set-up, KED added. (Reporting by Jinwon Lee)