SEOUL, Aug. 3 (Korea Bizwire) — LG Electronics Inc. said Thursday it will join hands with U.S. investment firm Clearbrook LLC to raise more than US$100 million to invest in industries of the future, including digital health, renewable energy and artificial intelligence.
The South Korean tech company said its North American Innovation Center (LG NOVA) aims to complete the fundraising for the NOVA Prime Fund by the end of next year.
Clearbrook is a New York-based investment management and consulting firm, founded in 2004, with over $10 billion in assets under advisement and management.
The fund’s goal is to invest in “companies advancing innovations to build a better future, drawing from the pool of companies participating in the Mission for the Future Program,” sponsored by LG NOVA, the company said.
The planned funding is five times the amount LG NOVA initially pledged to invest in such companies when it was established to incubate innovative startups in Silicon Valley in the fall of 2021.
“The strategic investments we’ve made with LG NOVA and its Mission for the Future Program have led us to take the next step in working with Clearbrook and others to support the accelerated growth of new technological solutions in digital health, sustainability and future solutions platforms that benefit society,” LG Electronics CEO Cho Joo-wan said.
“Clearbrook’s investment track record with a clear focus on impact and sustainable investing aligns perfectly with LG NOVA’s mission.”
Last month, LG unveiled a long-term plan to turn itself into a total life solutions provider, by focusing on non-hardware products, business-to-business solutions and new growth areas.
Under the new vision, the company aims to increase annual revenue levels to 100 trillion won (US$77 billion) by 2030, from around 65 trillion won last year.
At that time, Cho said LG NOVA, led by Rhee Sok-woo, corporate senior vice president of innovation at LG Electronics, will be at the forefront of the company’s strategic investment in digital health care, in particular.