Homeplus restructuring at a crossroads, MBK 1,000hundred-million-won joint guarantee
MBK Partners has pledged a joint guarantee of 1,000hundred million won for Homeplus. Homeplus is currently seeking an emergency operating loan of 2,000hundred million won, with the possibility of a significant impact on 100,000workers and partner companies.
Homeplus stands at a crossroads between approval of a rehabilitation plan and a liquidation decision. MBK Partners said on 6month 10day that it would provide a joint guarantee for 1,000hundred million won to normalize Homeplus. The company said it would pursue additional funding and a restructuring roadmap together.
Homeplus requested an emergency operating fund loan (DIP) of 2,000hundred million won from Meritz Financial. MBK’s joint-guarantee proposal was reportedly intended to support the loan. Discussions with creditors are under way.
The impact on workers and partner companies has also been reported. According to reports, the number of workers associated with Homeplus is estimated at approximately 100,000people. Concerns are growing on the ground over employment and payment issues.
The company and its creditors are considering responses through rehabilitation or liquidation proceedings. Specific court schedules and the final decision have not yet been announced. Further announcements are expected as relevant disclosures and creditor reports are released.
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