Shinsegae acquires additional 443.6 billion won stake in SSG.COM to restructure e-commerce business
Shinsegae decided to acquire 459,456 shares of its affiliate SSG.COM for 443.6 billion won.
This is through exercising a call option on all shares held by Olympus First under a shareholders' agreement signed in 2024, increasing Shinsegae's stake to 34.89%.
The acquisition aims to strategically restructure and improve efficiency of the e-commerce business jointly with E-mart, with Shinsegae and E-mart holding 34.9% and 65.1% respectively after closing.
The acquisition amount represents 6.75% of Shinsegae's equity, and SSG.COM has reported net losses for the past three consecutive years.
This transaction is subject to large-scale internal transaction disclosure and does not involve backdoor listing.
[AI Summary]Shinsegae strengthens control over its e-commerce subsidiary through additional stake acquisition, but the short-term profitability improvement is uncertain given the cash outflow, leading to a neutral impact on shareholder value. Close monitoring of capital efficiency is warranted due to SSG.COM's loss-making structure.
KOSPI Filing Information
Decision on Acquisition of Stocks and Investment Securities of Other Corporations