Woongjin Capital Raising Smartphone Fund

(Reuters) – South Korean private equity fund Woongjin Capital plans to raise at least 1 trillion won ($828.9 million) by September to invest in the smartphone industry, it said on Wednesday.

The fund, which would be the biggest private equity fund raised in Korea, will invest mainly in smartphone software and new technologies, Woongjin said in a statement.

“We primarily plan to invest in local firms developing smartphone technology but could also acquire or invest in foreign firms which are willing to expand in Korea,” an official at Woongjin Capital said.

South Korea is home to the world’s No.2 and No.3 handset makers — Samsung Electronics Co (005930.KS) and LG Electronics Inc (066570.KS), which together control around 30 percent of the global market but less than 5 percent of the booming smartphone market, due to delays in product launches and their tendency to focus more on hardware. ($1=1206.4 Won)

(Reporting by Miyoung Kim; Editing by Jonathan Hopfner)