[Consulting] Agent for Reporting Foreign Investment

Global venture investment company A decided to invest in domestic startups through Veat. During this process, A inquired about the foreign investment notification system with Veat.

Foreign investment notification is defined under the Foreign Investment Promotion Act, allowing notification for cases where foreigners invest more than 100 million won in domestic companies to acquire a certain percentage of equity or lend funds. Foreign investors who have filed a foreign investment notification benefit from guaranteed remittances abroad, national treatment, and exclusion of discriminatory application of tax exemptions, making it advantageous for large investments or ongoing investment relationships with South Korea for substantial investors.

Veat represented A company to proceed with the foreign investment notification for A's investment in the domestic startup. Although A's investment typically did not meet all requirements under the Foreign Investment Promotion Act, Veat's legal review confirmed that A's investment structure qualifies for an exception under the Act, enabling the completion of the foreign investment notification.

Thank you.

Law firm Veat