NVT Acquires Real Estate Worth 29 Billion KRW for "Office Relocation and Rental Income Generation"

[Asia Economy Reporter Hyunseok Yoo] NT, a KOSDAQ-listed company, announced on the 1st that it has acquired real estate for the purpose of relocating its office building to enhance mid- to long-term business stability and asset management efficiency, as well as to generate rental income.

The real estate acquired by NT is located in Seocho-dong, Seocho-gu, Seoul, consisting of a total building area of 3,216.4㎡ with 6 floors above ground and 2 basement levels. The purchase price is 29 billion KRW, which corresponds to 67.99% of NT's total assets as of the first half of this year.

The company explained the background of the real estate purchase as follows: ▲ the purchase price was set lower than the current market price ▲ the building is located in the Gangnam area where land prices are expected to rise ▲ and it expects to reduce incidental costs such as annual rental expenses of up to approximately 1 billion KRW.

NT plans to invest part of its internal reserves generated from additional profits through overseas business investments this year into this real estate purchase, and complete all acquisition procedures within the year through financial sector funding.

A company official stated, “We expect rental income from leasing the remaining floors except for 2 to 3 floors that will be used as the office building to exceed the interest on some borrowings incurred during this real estate acquisition process. Considering the current office rental and management fees, we believe this will be a stable asset acquisition case in the mid to long term.” He added, “The remaining reserves will be used appropriately and timely, considering NT’s future business, which is continuously discussing various options to secure new growth engines.”

NT is the number one point platform operator in Korea and was listed on the KOSDAQ market in January this year. It operates its own services, including the mobile lock screen advertising platform ‘CashSlide’ and the B2B offerwall network platform ‘Addison’. Due to the nature of the point platform, the combined monthly active users (MAU), considered a key performance indicator, surpassed 10 million this year. Since the beginning of this year, NT has accelerated its expansion of partnership industries centered on leading companies in sectors such as electronic payments, webtoons, mobility, and finance.

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