I&NA, a pregnancy, childbirth, and parenting platform corporations, is undergoing rehabilitation proceedings and is pursuing a turnaround through mergers and acquisitions (M&A). Under court supervision, it has begun an open sale process and moved to secure new investors.
On the 15th, according to startups and the legal community, I&NA recently filed with the Suwon Bankruptcy Court for approval to issue an M&A sale notice and distribute letters of intent. The step is meant to announce an open sale to potential acquirers and receive letters of intent (LOIs) from investors interested in participating, which is seen as effectively launching an open M&A.
I&NA is a comprehensive pregnancy, childbirth, and parenting platform corporations that provides customized services by a child's growth stage with IT solutions in each institutional sector. In partnership with more than 350 postpartum care centers nationwide, it offers real-time video services "Bebecam" and "Jellycam." It also operates Baby Notebook, Baby Album, and live commerce. It has also developed an AI nanny service that checks a baby's condition in real time.
In Jul. 2024, it was selected by the Ministry of SMEs and Startups as an "Baby Unicorn" corporations, earning recognition for innovation and growth. Only 50 corporations are selected as Baby Unicorns each year, and they are supported with up to 300 million won in market development funds and up to 5 billion won in special guarantees from the Korea Technology Finance Corporation (KOTEC). The program facilitates funding to help startups grow into "unicorn" corporations valued at more than 1 trillion won.
However, I&NA entered court rehabilitation proceedings about a year after being named a Baby Unicorn. Despite generating about 14 billion won in revenue in 2023 and 2024, it posted losses. With profitability failing to improve last year, it fell into a liquidity crunch and began rehabilitation proceedings in Sep. last year. During the process, it applied to the court for approval to borrow operating expenses due to a shortage of working capital. Some creditors pursued provisional seizures and compulsory execution, but the court canceled the measures, halting individual compulsory execution.
I&NA also proceeded with steps to sell some asset. It pursued a plan to sell patent rights held as collateral, secure funds, and prioritize repayment of secured claims. I&NA holds more than 20 patents centered on infant monitoring technology. Representative patents include technology that detects a baby's crying condition and sends alerts to guardians, and technology that detects dangerous movements or emergencies.
It is now pursuing an open M&A to find a new acquirer. With court approval, it has proceeded with the sale notice and LOI distribution. It reportedly selected Samil PwC as the sale manager and is conducting an open competitive auction under a stalking-horse method. A stalking horse is a sale method in which a prospective acquirer with a right of first refusal is set first, followed by an open competitive auction.
A startup industry official said, "In the M&A process, factors such as technological strength, business competitiveness, and the utility of customer-based services will likely be evaluated comprehensively rather than the financial structure," adding, "If the sustainability of the business—such as platform users, partnership networks, and patents—is recognized, it could be a more efficient investment target for investors than building a new service."