Megastudy Withdraws from Civil Service Exam Market... "Continued Deficits"

Megastudy has announced its withdrawal from the civil service exam academy market.

On the 13th, Megastudy Education announced that it has completed the business transfer agreement to transfer its civil service division, 'MegaGongmuwon,' to NextStudy for 11.4 billion KRW. The scheduled transfer date is the 31st of this month.

A Megastudy Education representative explained, "This decision was made due to factors such as a cumulative operating loss exceeding 60 billion KRW over the past four years, a decrease in civil service recruitment numbers, and a decline in preference."

It is also analyzed that the earlier attempt to merge with ST Unitas (Gongdangi), the number one player in the civil service exam academy market, which was rejected by the Fair Trade Commission in March, influenced this decision.

At that time, the Fair Trade Commission stated that if Megastudy, which would become the overwhelmingly dominant market leader after the merger, attracted popular instructors, it could limit market competition and lead to price increases, and thus prohibited Megastudy Education from acquiring Gongdangi shares.

A Megastudy Education official said, "The purpose is to minimize risk and improve profitability by transferring the civil service division, which is the only division operating at a loss among all business sectors," adding, "We will reorganize the business structure in a way that leverages the company's strengths and continue to pursue the discovery of promising new future businesses."

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