Korea Center Merges with ‘Danawa,’ Korea’s No.1 Price Comparison Platform

After Approval at the October 19 Shareholders' Meeting... Completion by the End of This Year

[Asia Economy Reporter Lim Chun-han] Korea Center announced on the 17th that it will strengthen its position as a specialized e-commerce company through a merger with ‘Danawa,’ the nation's No.1 price comparison and search shopping platform.

Korea Center held a board meeting on the 16th and approved the agenda to merge with Danawa. The plan is to complete the merger by the end of this year after obtaining approval at the shareholders' meeting scheduled for October 19. Korea Center will issue 0.3066165 shares of Danawa common stock for each share of Korea Center common stock, calculating the merger ratio based on the standard stock prices of both companies' common stocks as the merger price. The merger price was determined by averaging the weighted arithmetic average stock prices over the one month and one week periods prior to the board resolution date, as well as the most recent closing price. The merger date is scheduled for November 30, and the new shares from the merger are expected to be listed on December 16.

This merger was pursued to strengthen the business competitiveness and enhance corporate value of both companies in order to lead the ecosystem within the explosively growing e-commerce market. The synergies from the merger include ▲strengthening data commerce competitiveness and building an integrated e-commerce data analysis platform ▲maximizing sales of e-commerce solutions and expanding the customer base ▲refining cross-border commerce product sourcing and expanding services ▲accelerating growth through mergers and acquisitions (M&A).

Kim Gi-rok, CEO of Korea Center, said, "Through this merger, the platforms and solutions held by both companies will secure greater synergy effects and competitiveness," adding, "The merged entity will serve as a commerce data hub connecting market participants by building an integrated e-commerce database, and will grow together in a mutually cooperative and complementary relationship with open markets and shopping malls, rather than as competitors."

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