KOTRA EXPRESS

Investment News

The Latest on Korea's
Investment Enviroment
WeWork to invest USD 500 mln in S. Korea, Southeast Asia
    WeWork, a global shared office space provider, will invest a combined USD 500 million in South Korea and Southeast Asia as it attempts to expand its presence in the Asian market.
   Under the expansion plan, the New York-based company has appointed Matt Shampine, currently head of Marketing and Revenue for Asia, as the General Manager of Korea.
   Miguel McKelvey, co-founder of WeWork, said in a press release that that announcement reaffirms WeWork's commitment to scaling its business across Asia. WeWork, established in New York City in 2010, currently has over 163 offices in 15 countries, including three in Seoul after the first Korean WeWork office opened last year.

Biogen opens branch in S. Korea
   The U.S.-based pharmaceutical company Biogen Inc. has launched a branch in South Korea, as it takes steps to tap deeper into the local market.
   According to the sources, the U.S. firm, which posted USD 11.4 billion in sales last year, registered Biogen Korea LLC in South Korea on July 14.
   The company established Samsung Bioepis Co. jointly with Samsung
Biologics Co., an affiliate of South Korea's No. 1 conglomerate Samsung, in 2012.
   Earlier this year, Biogen sought to win approval for the domestic sale of its SPINRAZA, a treatment for spinal muscular atrophy, from South Korea's Ministry of Food and Drug Safety.

More foreign companies seek to invest in Jeollanam-do Province
   A number of foreign companies are seeking to invest in Jeollanam-do Province including Japan’s Sumitomo Seika Chemicals which plans to make an additional KRW 80 billion (USD 70.32 million) investment in Yeosu.
   Other chemicals companies like Lotte Versalis (Italy), LG MMA (Japan) and Kumho Mitsui Chemicals (Japan) are also planning to invest in the region.
   Cultural content firms Pole To Win Korea Inc., Ltd. (Japan) and Valhalla Networks (Japan) are pushing forward with investments in Naju's Bitgaram Innovation City worth a total of KRW 350 billion (USD 307.65 million).
   Analysts believe this recent trend is based on global chemicals companies finding it convenient to secure necessary supplies for production in the province due to the concentration of large Korean chemicals companies in Yeosu.

What's Trending
Korea’s largest VR theme park opens in Incheon
South Korea’s largest urban virtual reality theme park, Monster VR, opened its doors to the public on August 4. The 1,320 m2 entertainment center, which boasts over 40 virtual reality (VR) attractions, is located in Incheon’s posh Songdo district.
The launch of the new VR theme park is part of the ‘2017 VR Content Experience Zone Establishment Project’ jointly led by the Ministry of Culture, Sports and Tourism and the Korea Creative Content Agency. In order to develop cultural and tourism-
related content and foster new engines for growth, Monster VR enables a growing number of people to become familiar with VR content and nurture the overall industry. Corporations that have the capacity to create VR content can apply to be a part of the park, and selected companies receive government subsidies of up to 50 percent in building a ‘VR Experience Zone’. As for Monster VR, about KRW 1.12 billion (USD 985,600) was granted by the government.
While conventional theme parks require huge investments to establish facilities and a physical space of at least 30,000 m2 , urban VR theme parks do not necessarily need the same amount of investment. On top of that, it is much easier to install or replace attractions in VR theme parks than in traditional amusement parks. Visitors can also spend quality time in VR entertainment centers without waiting in long lines. Monster VR operates every day from 10:30 a.m. to 10 p.m.

Did You Know?
South Korea ranked second among emerging economies in the amount of
stocks purchased by foreign investors during the first six months this year.
Foreigners net bought USD 9 billion worth of South Korean stocks during the January-June period, the second largest only after Taiwan's USD 9.4 billion, according to the statistics by Yuanta Securities.
The benchmark Korea Composite Stock Price Index (KOSPI) jumped 18 percent to 2,291.79 as of June 30 from the end of last year, marking the highest rise among emerging economies.

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Investment News

WeWork to invest USD 500 mln in S. Korea, Southeast Asia

Biogen opens branch in S. Korea

More foreign companies seek to invest in Jeollanam-do Province

Korea’s largest VR theme park opens in Incheon