Musinsa Merges Deficit Subsidiary 'Soldout' to "Enhance Efficiency"

Completion of Merger Procedures in the First Half of Next Year

Musinsa announced on the 3rd that it will proceed with a merger with its subsidiary SLDT, which operates the limited edition platform 'Soldout.' This move aims to enhance synergy and operational efficiency for Soldout's sustainable growth.

SLDT held a town hall meeting on the 2nd to announce the merger plan with Musinsa to its employees. Musinsa will proceed with the merger according to procedures stipulated by laws and its articles of incorporation, expecting to complete the merger by the first half of 2025.

This decision is intended to improve operational efficiency by integrating common areas across multiple platforms.

Since declaring emergency management earlier this year, SLDT has been pushing for intensive structural improvements. According to the company, the annual operating loss for this year is expected to decrease by up to 43% compared to last year. It is also anticipated that the monthly break-even point (BEP) will be achievable by the first half of 2025.

Once the merger is completed, SLDT plans to focus on operational efficiency and exploring new business opportunities. Synergies will also be strengthened through linking product databases (DB) with other platforms operated by Team Musinsa, such as ▲Musinsa ▲29CM (Isipguseonchimeoteo) ▲Empty.

Park Junmo, CEO of Musinsa, said, “Through organic integration among currently operating services including Musinsa, Musinsa Global, 29CM, Soldout, and Empty, Team Musinsa will maximize business synergies on its journey to connect diverse tastes of global customers beyond Korea.”

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