[Weekly M&A] AI and Semiconductor Big Deals Roar, VC & M&A Market Heats Up

[Weekly Pitch: VC & M&A]

This is this week's core briefing on venture investments and M&A brought to you by News Epoch. (2026.04.17 ~ 2026.04.24)

This week, the domestic venture investment and M&A market heated up, centered around overwhelming big deals in the artificial intelligence (AI) and semiconductor sectors. The positive macroeconomic trend, such as the surprise gross domestic product (GDP) growth rate driven by the improvement in the semiconductor industry and the breaking of the all-time high of the KOSPI index, is driving investment sentiment. In particular, AI technology has emerged as a core competitive edge across all industries, leading to large-scale funding and strategic investments by companies.

Overwhelmingly Large Big Deals Breathe Vitality into the Market

Dinotisia, a company specializing in long-term memory artificial intelligence (AI) and semiconductor integrated solutions, drew market attention by attracting a large-scale fund of 90 billion KRW in its Series A investment round. This investment, participated in by multiple venture capitals (VCs) including Elohim Partners, Kiwoom Investment, and Daesung Private Equity, clearly demonstrates the growth potential of the AI semiconductor sector. AI-based enterprise IT company Automata also raised 10.5 billion KRW in Series A funding, raising expectations for the industrial application of AI technology. IM Investment Partners, SBI Investment, IBK Capital, Samsung Securities, Linear Venture Capital, and We Ventures were listed in this deal.

AvoMD Korea, which develops a clinical AI platform, secured 10 billion KRW in Series A investment from Noro-Moseley Partners, AlleyCorp, Las Olas Venture Capital, MedMountain Ventures, Epsilon Health Investors, Scrub Capital, Dunamu & Partners, Mirae Asset Capital, and FuturePlay. This suggests that the convergence of AI and healthcare will further accelerate. Defense electronic warfare (EW) and radar technology company Nexwill also attracted a 10 billion KRW investment, proving the growth potential of the defense and high-tech sectors.

The Golden Age of AI... A Flood of Investments in Technological Innovation

VC investments this week showed a strong belief in AI technological innovation. Global trends also focused on AI, with NCSoft CEO Kim Taek-jin emphasizing insight as a core competitive edge in the AI era, and Tencent unveiling its first flagship AI model, signaling platform competition. Domestically, AI-based digital healthcare company Stress Solution attracted 4.25 billion KRW in a Pre-Series A round, continuing the growth trend in the AI healthcare sector.

The movements of large corporate VCs were also active. Naver Ventures made an investment in industry-specific AI OS company Enhance, supporting innovation in the AI solution sector. In addition, Fulcrum Technologies, the developer of the AI-based e-commerce detail page auto-creation solution 'Hookable', attracted a seed investment from Primer, and structured derivative AI technology company RiskX raised a seed investment from Seoul National University (SNU) Holdings. QTip, the developer of the AI-based video project management and production platform 'tacu', received a seed investment from Kim Gisa Lab. DDH, which develops artificial intelligence (AI)-based dental diagnostic solutions, also attracted investment from Dongmoon Partners and J&P Medi Partners, showing a broadening scope for the application of AI technology.

The Light and Shadow of the M&A Market... Realignment and Leap Forward

In the M&A market, movements of realignment and leap forward intersected. Nexa Dynamics acquired artist management and performance planning/production company The Star Partner for 20 billion KRW, seeking to strengthen its competitiveness in the entertainment content market. Synopex absorbed and merged its 100% subsidiary Synopex Membrane, aiming to enhance management efficiency and strengthen its materials, parts, and equipment business capabilities. Pet care specialized company SOL Corporation was acquired by Peopet operator Cosmos Effect to promote the expansion of its products and expert network.

On the other hand, domestic first-generation content streaming service Watcha appears to be experiencing difficulties in its sale amidst rehabilitation procedures as CJ ENM did not participate in the main bidding. Backpacker, the operator of idus, absorbed and merged TenbyTen while taking on losses in the 9 billion KRW range, causing it to turn to a deficit, showing a cross-section of restructuring M&A in a difficult market situation. Meanwhile, Hahn & Company, the first in the private equity fund (PEF) industry to be included in the presidential overseas economic delegation, is seen expanding its influence in the investment industry, and complex aspects of overseas M&A also emerged, such as MBK Partners' acquisition of a Japanese machine tool company facing difficulties due to the Japanese government's intervention. In addition, Crit Ventures proceeded with a follow-on investment in K-POP IP platform Dayone Dream, and rare disease new drug development company Avomed attracted a Pre-IPO investment, raising expectations for future growth.

[Epoch Point]

This week's VC and M&A market showed a boom based on the solid growth engines of AI and semiconductors, but some companies are continuing to struggle to overcome the waves of market realignment.