[Click eStock] "Min&Ji, Growth Expected Through M&A... Target Price 26,200 Won"

[Asia Economy Reporter Hyunseok Yoo] Sangsangin Securities analyzed on the 28th that Min&Ji is expected to achieve structural growth through mergers and acquisitions (M&A). They newly issued a 'Buy' investment rating with a target price of 26,200 KRW.

Min&Ji is a company that provides security and authentication services, lifestyle services, and stock and financial services based on telecom value-added services. Due to the nature of value-added services, the business tends to generate stable revenue once the service reaches a certain number of customers. The estimated number of customers for its core services is around 2 million.

Jongwon Lee, a researcher at Sangsangin Securities, explained, "It was selected for the MyData main business last February," adding, "With approximately 10 million customer data records secured, the future MyData business utilizing medical, financial, and credit information held by Min&Ji also looks promising."

Lee emphasized that expectations for M&A remain strong. He evaluated, "The core subsidiaries are SettleBank and BioEleven, both of which have shown rapid growth since being acquired by Min&Ji. SettleBank grew from a company with sales in the 20 billion KRW range at the time of acquisition in 2016 to exceeding 70 billion KRW in sales by 2020. Health functional food manufacturer BioEleven also grew from sales of around 1 billion KRW at the initial investment to recording 40.1 billion KRW in sales within five years."

Sangsangin Securities forecasts that SettleBank and BioEleven will record sales of 110.4 billion KRW and 47 billion KRW respectively this year, representing increases of 41% and 17% compared to the previous year. Lee emphasized, "Min&Ji is actively expanding its business through M&A, such as recently participating in the bid for distributor D, so structural growth through this is also expected," adding, "With approximately 150 billion KRW in consolidated cash holdings (81.6 billion KRW excluding deposits), there should be no difficulty in financing M&A."

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