ContentreeJoongAng Lends 21 Billion Won to Subsidiary MegaboxJoongAng… Risk of Supporting Loss-Making Subsidiary
ContentreeJoongAng decides to lend 21 billion won to its subsidiary MegaboxJoongAng for one year (2026-05-26 to 2027-05-25) at an interest rate of 8.70%.
The purpose of the loan is to secure liquidity for MegaboxJoongAng, which is suffering from accumulated losses and deteriorating financial health.
MegaboxJoongAng's latest financials: total equity 38.5 billion won, net loss 63.4 billion won (as of end-2025), with a debt-to-equity ratio of 2,212%, indicating very high financial risk.
Total loan balance increases to 169 billion won, including renewal of 20 billion won and new loan of 1 billion won, expanding the group's internal funding exposure.
[AI Comprehensive Analysis]ContentreeJoongAng's continuous lending to its subsidiary reflects MegaboxJoongAng's poor performance requiring liquidity support. Although the loan is high-interest, repayment uncertainty poses a burden on ContentreeJoongAng's financial health if large losses occur.