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UDI Impact Raises 9 Billion Won in Pre-IPO...Plans KOSDAQ IPO Within the Year Establishes Tokyo Subsidiary and Connects Korea-Japan Impact Startup Ecosystem Expanding Beyond Startup Education to Comprehensive ESG Solutions Company Local coaches from Japan, India, and Indonesia participated in the Asia Startup Ecosystem Insight Seminar hosted by UDI Impact last month. (Photo=UDI Impact) [Edaily Market in Park So-young] Social enterprise 'UDI Impact (formerly Underdogs)' has begun earnest efforts to foster the Korea-Japan startup ecosystem. The company is establishing a local subsidiary in Tokyo, Japan, and seeking opportunities in the local impact market. Using this as a springboard, it aims for the first certified social enterprise KOSDAQ listing in the country. According to the domestic investment banking (IB) industry on the 9th, UDI Impact is focusing on linking the Japan and domestic impact startup ecosystems ahead of entering the KOSDAQ market within the year. The company started as a social enterprise providing free education to aspiring entrepreneurs. Since its founding, more than 20,000 entrepreneurs in preparation have gone through the company's education programs. Based on the practical startup education brand Underdogs, the company provides comprehensive ESG strategy, impact measurement, and AI education services. The company is expanding its startup education curriculum with Japan as a major Asian hub. For example, UDI Impact has established an office in Tokyo, Japan, and conducted startup support projects with domestic and international partners last year. With the Jeollanam-do Creative Economy Innovation Center, it implemented programs supporting global expansion such as local IR and major company meetups for preliminary startup package selected entrepreneurs. It is also exploring possibilities for open innovation exchanges with Mitsui Real Estate Innovation Promotion Division. It assisted Seoul-area universities and startup support institutions in jointly designing demonstration-based programs linking global smart cities and urban innovation strategies at local sites. With Kobe City, Japan, it operated a region-specialized impact startup education program. There is significance in supporting early-stage impact startups seeking to solve local social problems and continuously producing social entrepreneurs. The program was also selected by Kyoto for the '2025 Kobe City Field-Specialized Incubation Project.' It was jointly planned with Taliki, a Japanese impact investment and acceleration organization. An IB industry official said, "The Japanese impact market investment size is predicted to reach 20 trillion won by 2030," and added, "To overcome the limitations of the domestic market, which is only in the hundreds of millions, and to pursue the Asian market, recently domestic impact investment companies and related enterprises are taking steps to pursue the Japanese market." The industry believes UDI Impact's strategy to pursue the Japanese market will have a positive impact on its IPO challenge. Previously, UDI Impact completed a pre-IPO round worth 9 billion won last January to pursue a KOSDAQ listing within the year. SV Investment, IMM Investment, Positive Investment, and TKG Ventures participated. Investors judged that the company has great potential to grow as a comprehensive ESG solutions company in the Asian market. UDI Impact was established in 2015 under the name Underdogs. With a business model of free education for entrepreneurs, it has conducted business without external investment so far. In December 2023, it selected Mirae Asset Securities as the lead organizer and began full-scale preparations for KOSDAQ listing. Underdogs changed its name to UDI Impact last year. The goal is to expand beyond startup education to become a comprehensive ESG solutions company. Accordingly, it acquired F-Lab and Company last year, an operator of practical developer education and mentoring platforms. The aim is to leverage F-Lab and Company's customized mentoring and practical-oriented curriculum to develop local technical talent and form regional networks. An UDI Impact official said, "The Japanese government announced through its 5-year startup promotion plan in 2022 that it will invest approximately 90 trillion won by 2027 to foster 100 unicorn companies, which feels similar to the methods used 10 years ago to activate the domestic startup ecosystem," and added, "As a player who has contributed to building the domestic startup ecosystem since 10 years ago, we thought that if we invest our capabilities in Japan as well, we could achieve meaningful results." He continued, "Japan also has many companies focused on solving social problems, but unlike our country, there is a lack of systems certifying social enterprises, so we first want to contribute to establishing a certification system."