Habit Factory Secures $24.4M Series D.

SEOUL, South Korea - Habit Factory, a South Korean financial technology company, said on Thursday it secured KRW 35 billion (US$24.4 million) in Series D funding, with proceeds designated for expansion in the United States and Japan.

Z Venture Capital and Smilegate Investment co-led the round, according to the company.

Z Venture Capital is the corporate venture capital unit of LY Corporation, a joint venture between Naver and SoftBank under A Holdings.

Korea Development Bank, IBK Venture Investment, and Kolon Investment participated as new investors. 

KB Investment, Shinhan Venture Investment, and Smilegate Investment provided follow-on funding.

The total capital raised since the company’s establishment has reached KRW 69.4 billion (approximately US$48.4 million), according to the company.

The funds will be directed toward Habit Factory’s U.S. and Japan operations, the company said.

The company attributed its expansion plans in the U.S. market to fluctuations in mortgage interest rates.

For Japan, Habit Factory identified insurance and mortgage sectors as targeted areas, citing what it described as structural similarities to South Korean and U.S. markets.

Habit Factory operates Signal Planner, a platform that provides insurance, pension, and household budget services in South Korea.

The company reported that first-half 2024 revenue rose 76.8 percent from the year-earlier period.

In the United States, the company obtained a mortgage banking license in 2023. Cumulative loan originations totaled KRW 203.1 billion (US$141.6 million), according to the company.

The company said it has initiated the selection process for lead underwriters for a planned initial public offering.

(US$1 = KRW 1,434)