Hyundai Home Shopping Sells Management Rights of Hyundai Rental Care... "Business Portfolio Adjustment"

Sale of 80% Stake for 137 Billion KRW
Agreement to Retain 100% of Employees
Funds Secured to Promote New Business and M&A

Hyundai Home Shopping CI. (Photo by Hyundai Home Shopping)

[Asia Economy Reporter Lim Chun-han] Hyundai Home Shopping announced on the 26th that it is pursuing the sale of management rights of Hyundai Rental Care, in which it holds 100% equity, as part of a proactive business portfolio adjustment.

On the same day, Hyundai Home Shopping disclosed that it will sell 80% of the shares, including management rights of Hyundai Rental Care, to the private equity firm Sealine Investment for 137 billion KRW. Sealine Investment, the acquiring party, and all former employees of Hyundai Rental Care have agreed to 100% employment succession. After this sale, Hyundai Home Shopping will retain the remaining 20% stake to maintain a cooperative relationship for the continuous growth of Hyundai Rental Care. Sealine Investment plans to proceed with the acquisition process by establishing a separate fund with major investors such as M Capital (formerly Hyosung Capital), which operates specialized credit finance business, and aims to finalize the deal within next month.

Hyundai Home Shopping explained that the push to sell the management rights of Hyundai Rental Care is part of a proactive business portfolio restructuring and adjustment to strengthen the competitiveness of its core business and focus on future growth businesses amid rapidly changing internal and external management environments, including the transition to a holding company. The funds secured through this sale will be actively used for new businesses or mergers and acquisitions (M&A) that align with the company's future growth strategy.

A Hyundai Home Shopping official said, “We judged that selling the management rights is the most appropriate way to respond swiftly to the rapidly changing rental market and maximize future growth potential,” adding, “This sale will serve as an opportunity to accelerate growth through the development of Hyundai Rental Care’s specialized business model.”

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