South Korean retail giant makes another big move, acquiring fashion platform W Concept for 200 billion won

Shinsegae Group's online shopping complex SSG.com will acquire online fashion platform " W Concept ". This is interpreted as a proactive management move to enhance Shinsegae Group's competitiveness in the e-commerce industry.

SSG.com announced on the 1st that it has signed a formal stock sale contract with IMM Private Equity Investment and ISE Commerce to transfer all the shares of W Concept. The acquisition scale of this transaction is reportedly about 200 billion won .

W Concept is an online fashion platform founded in October 2008. With 5 million members , it ranks first among online platforms for independent designers of women's clothing. W Concept has many young designers and has also cultivated its own brand " Front Row ", which has differentiated competitiveness . Currently, W Concept has also expanded to related categories such as luxury goods and beauty.

SSG.com plans to formally incorporate W Concept into its umbrella after the Fair Trade Commission's corporate merger review and approval . After the acquisition, it will inherit existing professional talents and operate the platform as a dual platform as it is now.

In addition, SSG.com's former owner, Shinsegae Group, also plans to use its infrastructure to strategically cultivate W Concept . In the future, it will integrate the system's logistics system to improve delivery efficiency. In addition, it is also considering promoting "online and offline integrated marketing " so that brands that have settled in W Concept can appear on offline channels owned by Shinsegae Group.

This acquisition is interpreted as another new move by Shinsegae Group, which mainly operates offline businesses, to expand its online business . Shinsegae Group recently signed a 150 billion won equity swap contract with Naver, the industry's No. 1 company, and then entered into a takeover bid for eBay Korea , the industry's No. 3 company , showing aggressive moves.

SSG.com will officially enter the open market from the 20th of this month . The open market is the market with the largest share of online shopping transactions in Korea . Since individual sellers enter the store to sell goods, it is expected that the number of goods handled and the transaction amount will increase, and the income from handling fees will be created.

An SSG.com official said, "The acquisition of W Concept will provide an opportunity to expand the clothing lineup of unique domestic designer brands favored by the 20-30 generation . In addition to high - end brands centered on department stores, it will also have unique clothing competitiveness, improve its position in the market, and provide better services to customers and sellers. "

Acquisition

Retail giant

South Korea