eBay Korea Acquisition Battle, Lotte "Sufficiently Interested" · Emart "Seriously Considering" (Comprehensive)

[Asia Economy Reporter Kim Yuri] Major retail conglomerates participating in the eBay Korea acquisition battle are officially expressing their interest through shareholder meetings. They acknowledged the rapidly changing business environment accelerated by COVID-19 and the blurring boundaries between online and offline channels, stating that they are seriously considering various options, including acquiring eBay Korea, to seize leadership in the online market.

Emart CEO Kang Hee-seok (photo) said at the shareholder meeting held on the 24th in Seongdong-gu, Seoul, regarding the eBay Korea acquisition, "Although a concrete plan to participate in the main bidding has not been finalized, we are seriously considering it." Emart had previously participated in the preliminary bidding for the eBay Korea acquisition, which closed on the 16th. Kang explained, "Continuously growing Emart in the rapidly changing e-commerce environment is the way to return value to shareholders," adding, "In this context, we are seriously considering whether acquiring eBay Korea would be helpful."

At the meeting, CEO Kang repeatedly emphasized the 'bold strengthening of online-offline collaboration systems.' He stated, "In an environment where growth is concentrated on online channels and oligopolization is rapidly progressing around key business locations, survival requires rapid growth of online channels and securing differentiated competitiveness," and added, "To this end, we will organically collaborate to grow online channels by expanding in-store online PP (Picking & Packing) centers, jointly planning products for online and offline, and strengthening live commerce." The industry views Emart's participation in the eBay Korea acquisition as stemming from these considerations. Kang said, "We will thoroughly review investment efficiency but boldly invest in business opportunities with growth potential."

Kang also announced that to respond flexibly to the market and innovate business models, Emart will actively pursue strategic alliances with external companies. A recent example is the 250 billion KRW equity swap between Shinsegae Group, including Emart, and Naver. Emart is currently discussing specific business models to expand grocery sales using Naver channels.

Earlier on the 23rd, Lotte Shopping CEO Kang Hee-tae (photo) also expressed "sufficient interest" in acquiring eBay Korea at a shareholder meeting held in Yeongdeungpo-gu, Seoul. He said, "We have received the investment memorandum (IM) to review the acquisition, but we will disclose specific details through official announcements."

Last year, Lotte Shopping launched the integrated online mall 'Lotte On' and challenged the e-commerce market but has struggled. Sales fell 8.8% to 16.0761 trillion KRW, and operating profit dropped 19% to 346 billion KRW. Recent events such as Coupang's listing on the New York Stock Exchange and the 250 billion KRW equity swap between Shinsegae and Naver also pose burdens for Lotte. The market interprets that Lotte is betting on acquiring eBay Korea to create synergy with Lotte On and to turn the tide in the rapidly changing e-commerce market.

Kang also revealed plans to recruit external experts for Lotte On. He explained, "There have been many trial and errors in e-commerce, and we apologize to shareholders for the results that have not met expectations," adding, "We will strengthen group capabilities by bringing in external experts."

This content was produced with the assistance of AI translation services.