Chorokmaeul and Jeongyuggak Officially Begin Acquisition Process with Court Approval

Chorokmaeul and Jeongyuggak
Receive Court Approval for Pre-Approval M&A
Structured Acquisition Process Begins Under Court Supervision

Chorokmaeul has officially initiated the pre-approval merger and acquisition (M&A) process.

On August 18, Chorokmaeul applied to the Seoul Bankruptcy Court for approval to proceed with a pre-approval M&A, and on August 28, the company announced that it had received the court’s authorization. Chorokmaeul plans to sequentially carry out a structured acquisition process, including the selection of a lead manager and the confirmation of an acquirer, in accordance with the procedures approved by the court.

Inside the Chorokmaeul store. Photo by Asia Economy DB

Currently, under the supervision of the court, Chorokmaeul is operating its nationwide offline stores, logistics centers, and customer service centers as usual. The company has made it a top priority to minimize damage to all stakeholders, including franchisees and partners, and is committed to stabilizing transactions and gradually normalizing supply.

A company representative stated, "Since the application for commencement of rehabilitation, multiple companies and investors interested in the organic food and eco-friendly distribution sectors have requested to review the acquisition," adding, "We will establish a new foundation for growth after rehabilitation through a transparent and fair process."

Meanwhile, on the same day, Jeongyuggak also received court approval to proceed with a pre-approval M&A. Jeongyuggak temporarily suspended the operation of its online mall after entering rehabilitation, but plans to select a lead manager and proceed with the acquisition process, aiming to stabilize and normalize management through external investment.

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