• Funding Stage : Seed
• Raising amount : KRW 200 M
• Desired Fundraising Timeframe : 2Q 2025

Everyone involved in construction worries about rust on steel plates. Consequently, many steel plates used in construction are made from “high-corrosion-resistant” steel to prevent rust. However, is it enough to ensure only the steel plates resist corrosion? Regardless of the steel type, fasteners like bolts and nuts, as well as brackets and other connectors, are essential to join them. If these components corrode, the strength of the steel structure inevitably weakens. Simply using high-corrosion-resistant steel plates doesn’t fully solve the problem.

Could coating both the steel plates and fasteners together to shield them from moisture and oxygen be a solution? The reality is more complex. Another critical factor in corrosion is “galvanic corrosion,” also known as “potential difference corrosion.”

This phenomenon arises from the inherent potential difference between metals. For instance, if a steel plate has a potential of -1.1V and a fastener has -0.5V, the potential difference is 0.6V. This causes electron movement between the metals, leading to corrosion on the side losing electrons, which creates cracks in the overall metal structure.

Having observed this issue for years, a POSCO researcher founded a company in late 2024 to address it. That company, PoSSol Innotech, led by CEO Kyung-hwang Lee, develops a corrosion-resistant coating called “PoSSEN.”

At POSCO, where CEO Kyung-hwang Lee worked, the company has long offered “PosMAC,” a magnesium-aluminum zinc alloy-coated steel plate with up to ten times the corrosion resistance of standard galvanized steel. However, PosMAC alone couldn’t resolve corrosion issues due to fastener corrosion. Facing this challenge, CEO Lee developed a special coating for bolts, nuts, and brackets to solve the problem.

PoSSol Innotech’s coated fasteners have a mere 0.03V potential difference with high-corrosion-resistant zinc alloy-coated steel, virtually eliminating galvanic corrosion. This allows high-corrosion-resistant steel like PosMAC to perform effectively.

While PoSSol Innotech’s coating pairs best with POSCO products, it’s also compatible with foreign steel companies’ products. Compared to commonly used hot-dip galvanizing, it offers four times the corrosion resistance on land and over eight times at sea, attracting interest from foreign steel firms for its coated fasteners.

Additionally, PoSSol Innotech blocks moisture—one of steel’s biggest corrosion drivers—with a unique coating method. Typical coatings have spherical inorganic additives, allowing moisture to penetrate gaps. In contrast, PoSSol’s additives form a horizontal barrier, making moisture penetration difficult. “This coating technology is our core competitive edge,” says CEO Lee.

PoSSol Innotech’s moisture-blocking coating addresses another construction industry concern. For structures like floating solar panels, offshore wind farms, bridges, ships, and marine plants, steel resistant to moisture and salt is essential. The industry often uses costly stainless steel for such environments. However, with PoSSol’s coating, standard carbon steel can achieve sufficient corrosion resistance. PoSSol estimates it can supply products at 0.6–0.7 times the cost of stainless steel, targeting water and marine applications as its primary market.

At the interview’s end, CEO Lee emphasized one more point: environmental sustainability. “Most competitors, including hot-dip and electro-galvanizing, dry coatings at over 300°C. Our coating works at about 200°C, using far less energy, which is appealing for industries like automotive in carbon-sensitive markets like the EU,” he said.

CEO Lee earned a Ph.D. in materials engineering from Nagoya University in 2003 and served as a professor at Kyoto University. In 2006, he left academia to join POSCO’s RIST Research Institute, focusing on materials development. From 2020, as a senior researcher at POSCO’s Technical Research Institute, he leveraged his expertise to launch a POSCO corporate venture, which, recognized for its technical and business potential, led to the founding of PoSSol Innotech last year.

Traditionally, the materials, parts, and equipment industry has been dominated by Japan. WOW Partners, valuing CEO Lee’s vision and technology to surpass Japan and go global, selected PoSSol Innotech as one of “WOW NEXT 1st Cohort”. Investors interested in PoSSol’s competitiveness and CEO Lee’s determination are encouraged to visit its office in Songdo, Incheon.

What problem is PoSSol Innotech trying to solve?

PoSSol Innotech provides eco-friendly coating solutions to prevent steel rust, ensuring safety, extending product lifespan, and reducing environmental impact.

Iron constitutes over 32% of Earth’s composition, mostly as iron ore. This ore is melted at high temperatures to create various steel products, used in ships, cars, appliances, bridges, and buildings, enriching our lives.

However, steel’s greatest strength and weakness is its tendency to revert to iron ore through oxidation or corrosion. This makes recycling easy but poses risks during use, as corrosion can endanger human safety.

PoSSol Innotech develops eco-friendly solutions to ensure steel products remain safe and durable, conserving resources and enhancing recyclability for people and the environment.

How does it solve this problem?

PoSSol Innotech addresses steel corrosion by developing a coating with superior anti-corrosion properties, combining zinc alloy flakes with special anti-corrosion pigments, applied to steel components. Alongside coating development, PoSSol leverages extensive heat surface treatment expertise from the steel industry. By combining special heat treatments with coatings, it achieves far superior corrosion resistance compared to coatings alone.

PoSSol has developed solutions for diverse environments, offering product lines for land, water, and marine applications to prevent corrosion in high-humidity, coastal, or salt-heavy settings, like roads exposed to de-icing salts.

For precision components like fasteners (bolts, nuts), where traditional plating has limitations, PoSSol applies its technology to deliver long-lasting, rust-free products.

What are our competitive advantages and technical strengths compared to competitors?

PoSSol Innotech boasts differentiated strengths: eco-friendly anti-corrosion inorganic coating technology, galvanic corrosion suppression, hydrogen embrittlement prevention, CO2 emission reduction, and reduced maintenance costs through extended product lifespan.

While domestic and international steelmakers promote high-corrosion-resistant zinc alloy-coated steel for harsh environments, fastener corrosion remains a challenge for many companies.

PoSSol’s solution has been validated for compatibility with such steel, offering long-term corrosion resistance and suppressing hydrogen embrittlement in high-strength bolts. It also significantly reduces CO2 emissions compared to hot-dip galvanizing, enhancing eco-friendliness. PoSSol aims to establish its eco-friendly, high-corrosion-resistant coating as a leading global brand. Specific technical advantages include:

▲High corrosion resistance and galvanic corrosion suppression: Demand for high-corrosion-resistant zinc alloy-coated steel is surging for solar structures, roads, civil engineering, construction, and marine applications. PoSSol’s inorganic coating meets the rising need for corrosion-resistant fasteners and brackets, differentiated by its galvanic corrosion suppression.

▲Hydrogen embrittlement suppression: As infrastructure demands stronger fasteners, hydrogen embrittlement risks grow. PoSSol’s surface treatment avoids hydrogen generation, removes residual hydrogen, and prevents long-term corrosion, reducing steel brittleness.

▲Eco-friendliness (CO2 reduction): Supporting global ESG goals and EU CBAM compliance, PoSSol’s coating cures at lower temperatures than competitors, reducing CO2 emissions while maintaining quality, particularly for automotive applications.

What products/services does PoSSol Innotech offer, and what is their current status?

Our products include eco-friendly, high-corrosion-resistant coatings and coated fasteners and components, with plans to expand to various steel products.

Our offerings cater to different environments: land for low-rust settings, water for high-humidity areas, and marine for salty coastal or road facilities exposed to de-icing salts.

What is the target market size, and who are the core customers?

The global industrial fastener market (TAM) was USD 91.34 billion (KRW 134 trillion) in 2023, with a 3.5% annual growth rate, projected to reach USD 116.22 billion (KRW 170 trillion) by 2030 (Source: Maximize Market Research).

The marine fastener market, requiring high corrosion resistance (SAM), was USD 26.5 billion (KRW 38.92 trillion) in 2023. Given 93% of shipbuilding occurs in Asia (China, Korea, Japan), Korea’s marine fastener market is estimated at 30%, or USD 7.94 billion (KRW 11.67 trillion), though reliance on imported specialty steel reduces the domestic market to about USD 357.14 million (KRW 500 billion).

Core customers are those using steel in corrosion-prone environments, like floating solar and offshore wind farms, where demand for high-corrosion-resistant fasteners is growing. Despite a domestic solar market slowdown, global solar installations reached 511GW in 2024, with fasteners and components valued at USD 1.61 billion (KRW 2.25 trillion).

What is PoSSol Innotech’s business model?

We operate B2B and B2G models. B2B supplies large-scale projects for buildings, facilities, and structures, while B2G targets maintenance agencies like Korea Expressway Corporation, LH Corporation, railway, and port authorities.

We receive technology royalties from coating companies supplying coated products to fastener manufacturers and end-users. PoSSol also directly supplies coated products for new construction and maintenance, requiring spec-in through solution marketing.

What are the PoSSol Innotech team’s achievements?

Since converting to a corporation in November 2024, PoSSol has filed patents for its high-corrosion-resistant coating solution, registered the “PoSSEN®” trademark, and established a supply chain for land, water, and marine fasteners and components. It is negotiating supplies for rooftop solar bolts, steel house screws, construction stone brackets, livestock roof screws, and road anchor bolts.

PoSSol signed a contract with NST Co. for 10% royalty on coating revenue and an MOU with Taiyo Metal Industry to expand into marine and automotive bolts. In February 2025, it was certified as an innovative growth venture and is discussing seed investment with TIPS operators.

What is our team’s competitiveness?

As a POSCO corporate venture, PoSSol holds usage rights for two intellectual properties developed by CEO Kyung-hwang Lee, spinning off in December 2024.

Our technical director, with 35 years at POSCO in production and quality, brings extensive experience. Other team members, including a civil engineer with three years in road facilities, form a veteran team. PoSSol’s deep industry insight, robust demand-side networks, and plans to hire R&D and marketing talent aim for BEP in three years, targeting domestic leadership and global top-10 status.

Why should we receive investment? Three reasons:

First, despite its short history, PoSSol has been recognized in programs like Kibo Venture Camp, Hyundai Asan Startup Competition, and IBK Changgong, promising strong returns for investors.

Second, addressing eco-friendly demands, PoSSol’s high-value solutions prevent corrosion-related accidents and reduce maintenance costs, benefiting industries and the environment.

Third, CEO Lee’s 20+ years of R&D and the technical director’s 35 years of expertise ensure unmatched capabilities. Investment will fund market launches, marketing, and staffing for stable, rapid growth.