Hanchang Absorbs Bitob Networks... "Enhancing Management Efficiency, Increasing Shareholder Value"

[Asia Economy Reporter Jang Hyowon] Hanchang is merging its B2B e-commerce platform specialized subsidiary to enhance management efficiency and increase shareholder value.

Hanchang announced on the 7th that it has decided to proceed with a small-scale merger with its subsidiary B2B Networks.

Based on the merger with B2B Networks, Hanchang plans to reduce unnecessary costs and efficiently combine human and physical resources to maximize management efficiency. Additionally, since B2B Networks' B2B e-commerce guarantee platform holds a 20% market share in the domestic market and generates stable profits, it is expected to have a positive impact on improving Hanchang's financial structure.

In June, Hanchang acquired 100% of B2B Networks' shares for 7.4 billion KRW, a company that has been continuously achieving strong performance. B2B Networks operates the B2B e-commerce guarantee platform ‘MP1’ (e-Marketplace), an online payment system between companies using credit guarantees issued by institutions such as the Korea Credit Guarantee Fund and the Korea Technology Finance Corporation. Since starting its business in 2006, it has secured 100,000 member companies and holds about 20% market share, ranking second in the industry.

A Hanchang official stated, “With the goal of turning a profit this year, we are accelerating the strengthening of our financial structure through expanding new businesses such as recycled plastics and luxury platforms, as well as acquiring and merging stable cash cow businesses. Once B2B Networks is absorbed and merged, it will serve as a stable source of revenue as a business division of Hanchang and contribute to improving individual performance.”

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