This article was posted on the ChosunBiz MoneyMove (MM) site on Jan. 6, 2026, at 1:51 p.m.
KwangCheonKim Co., the nation's No. 1 gim manufacturer, has delayed the transaction as it has not decided between selling management rights and attracting investment. The recent high-price sale of another gim maker, Sung Gyung Food, is believed to have affected the decision.
On the 6th, investment banking (IB) industry sources said two private equity fund (PEF) managers recently expressed intentions to acquire management rights or invest in KwangCheonKim Co. The accounting firm Samil PwC has been handling the KwangCheonKim Co. transaction since June last year.
Industry observers say KwangCheonKim Co.'s main shareholder's price expectations have risen after Sung Gyung Food's management rights were sold at about an 11x enterprise value to earnings before interest, taxes, depreciation and amortization (EV/EBITDA) multiple.
As of 2024, combined sales of KwangCheonKim Co. and its affiliates reached 330 billion won. EBITDA was 24.1 billion won. Applying Sung Gyung Food's EV/EBITDA multiple of 11x yields a valuation of about 265 billion won. That is higher than the valuation being discussed for KwangCheonKim Co. in the market. On Dec. 26 last month, Samchuly acquired 100% equity in Sung Gyung Food from PEF manager Affirma Capital for 119.5 billion won.
However, industry participants point out that Sung Gyung Food's high valuation reflects that it was bought by a strategic investor (SI), Samchuly. Unlike financial investors (FI), who invest for returns, SIs often pay higher prices by pricing in long-term holdings and synergies with their core businesses.
So far, all parties that have expressed intentions to acquire management rights or invest in KwangCheonKim Co. are financial investors (FI). For that reason, it may be difficult for them to command as high a price as Sung Gyung Food did. An IB industry official said, "KwangCheonKim Co.'s price expectations have risen, and because it is still weighing sale versus fundraising, the transaction is not progressing quickly."
Founded in 1970, KwangCheonKim Co. has maintained a stable position in the domestic gim market. It manufactures and sells dried gim, seasoned gim, gim powder and frozen gimbap. By sales, it is the No. 1 gim manufacturer in the country. KwangCheonKim Co. vertically integrated the gim production value chain from purchasing materials and supplies to production and distribution.
KwangCheonKim Co.'s 2024 EBITDA rose 30% year over year, showing steep growth. However, some say it is uncertain whether such profit improvement will continue. During the same period, sales grew by only 6%, and much of the performance improvement resulted from cuts in selling and administrative expenses.
High volatility in raw gim prices and limits to expanding production volume are also cited as risk factors. Another IB industry contact said, "Gim production has limits to rapid expansion, making it difficult for PEF managers to raise corporate value in this industry."
As of the end of last year, KwangCheonKim Co.'s equity is 87.78% held by CEO Kim Jae-yu of KwangCheonKim Co. The remainder is held by related parties, including Kim Bok-man, KwangCheonKim Co.'s founder and Kim's father (5.5%).
A KwangCheonKim Co. official said, "We are currently reviewing fundraising, but we are not considering selling management rights," adding, "We clearly conveyed this view to the sale adviser."