South Korea's FTC approves NS Shopping's acquisition of Homeplus Express for $79.3M, citing minimal impact on competition due to Homeplus Express's small 2% market share in chicken products.
Financially troubled Homeplus Co. will close 37 of its 104 stores nationwide, impacting approximately 3,500 employees. The decision follows the sale of its Homeplus Express business and comes as the company undergoes court-led rehabilitation proceedings.
Homeplus has decided to close 37 stores that were temporarily suspended from operations. The company plans to offer voluntary retirement and support programs to the approximately 3,500 employees affected, but the actual disbursement of funds is contingent on creditor approval for emergency operating funds and extension of rehabilitation proceedings.
Homeplus is attempting to sell its remaining business, including headquarters and large stores, after previously selling its supermarket division. The company faces a severe liquidity crisis, struggling to pay employee wages and supplier debts, with its rehabilitation deadline approaching.
Homeplus has initiated pre-approval M&A for its remaining business divisions, excluding Homeplus Express, which was sold to NS Home Shopping. The process will be conducted through public tender, subject to court approval.
