This article was displayed on the ChosunBiz MoneyMove (MM) site at 2:42 p.m. on Jul. 24, 2026.
Enextelcom, a first-generation budget mobile carrier in Korea, is seeking to raise a new investment of 20 billion won to expand into new businesses. The funds raised are expected to be used for a software-as-a-service (SaaS)-based rental platform and the purchase of rental receivables.
According to the investment banking (IB) industry on the 24th, Enextelcom is recently seeking strategic investors (SI) and financial investors (FI) to raise 20 billion won in growth capital through a new share issuance. It was said to be prioritizing bringing in investors who can create synergy with its existing telecom and rental businesses rather than selling controlling equity.
Enextelcom, founded in 2003, is an early budget mobile carrier in Korea. It currently operates the budget mobile brand "A Mobile." According to the company, as of this month it has about 220,000 budget mobile subscribers and aims to increase the number to 250,000 by the end of the year.
Enextelcom posted 135.3 billion won in revenue and 16.731 billion won in operating profit in 2024. Last year, revenue increased to 139.68 billion won, but operating profit fell to 14.73 billion won. The company said that, based on growth in its budget mobile and rental businesses, it expects to achieve 200 billion won in revenue and 22 billion won in operating profit this year.
The investment to be raised this time will be used for the SaaS-based rental platform launched in May and for the purchase of rental receivables. According to the industry, Enextelcom plans to spend about 10 billion won on building and upgrading the rental platform and about 10 billion won on advance payments of rental fees through capital companies and on purchasing rental receivables.
The SaaS rental platform is a service that allows rental businesses to use, on a subscription basis, programs needed for product contracts, customer management, billing and collection. It supports rental businesses in handling related tasks without having to build separate systems themselves.
Enextelcom also plans to expand its business of directly purchasing rental receivables. It is a structure in which the company buys receivables generated from rental fees that customers pay over a long period, then securitizes them to pay rental businesses early.
Rental businesses can secure funds in advance for payments they would otherwise receive over a long period, easing the burden of cash rotation. Enextelcom plans to secure revenue from differences between the purchase price of receivables and the future recovery amount and from the securitization process.
However, there is an assessment that the rental receivables purchase business carries relatively greater funding burdens and credit risk than the existing budget mobile business. Because the structure involves purchasing receivables first and then collecting payments over a long period, if users of rental products fail to repay, Enextelcom could bear the loss.