SK Square will sell its e-commerce subsidiary 11Street to another subsidiary, SK Planet. As a result, 11Street will become a grandchild company of SK Square rather than a subsidiary.
SK Square disclosed on the 29th that it will sell a 100% management-control equity stake in 11Street (worth about 660.7 billion won) to SK Planet.
With SK Planet acquiring 100% equity in 11Street, 11Street will become a 100% subsidiary of SK Planet. Previously, SK Square had a structure in which SK Planet and 11Street were each held as subsidiaries.
SK Planet and 11Street plan to focus on synergies between OK Cashbag and e-commerce, the core businesses of each company, to reinvent themselves as a leading mileage-commerce corporations in the industry.
SK Planet plans to enhance the competitiveness of OK Cashbag by expanding mileage accrual and usage locations based on the 11Street commerce platform. It will also combine OK Cashbag and 11Street's 11pay (easy payment) to build a "payment → points accrual" service, and, together with 11Street's e-gift card business, strengthen sales within the OK Cashbag application (app) and point-utilization marketing.
11Street plans to evolve into "artificial intelligence (AI)-based context commerce." It aims for commerce in which AI understands customers' purchasing patterns and preferences in multiple dimensions and recommends tailored products. 11Street and SK Planet plan to integrate the two companies' existing AI and data technology capabilities to grow 11Street into a differentiated commerce platform that provides a new consumption experience.
Meanwhile, SK Planet plans to make a lump-sum payment totaling 467.3 billion won within the year to 11Street's financial investors as consideration for acquiring 11Street equity. As a result, 11Street's financial investors will recover their past 11Street investment by selling their entire 11Street equity, including SK Square's equity, to SK Planet through the exercise of tag-along rights.
The acquisition funds for 11Street equity for this transaction will be sourced from a capital increase by SK Square and SK Planet's own funds. In addition, equity stakes that SK Square holds in SparkPlus (shared offices), Haegin (games), and Korbit (virtual asset exchange) will be reorganized under SK Planet.
SK Square–SK Planet–11Street said of this restructuring, "the optimal solution that allows SK Square–SK Planet–11Street's future growth and all stakeholders, including shareholders, investors, sellers, and customers, to win-win," adding, "SK Planet and 11Street, which need new growth momentum, are now able to focus on increasing corporate value through mutual synergy."