Homeplus Co., which is undergoing a rehabilitation process, said that the rehabilitation plan recently submitted to the court does not include a "liquidation plan." Earlier, some in the industry speculated that Homeplus Co. was planning liquidation after spinning off and selling its corporate supermarket (SSM) Homeplus Express.
According to the retail industry on the 5th, Homeplus Co. submitted a "structure-innovation rehabilitation plan" to the Seoul Bankruptcy Court on the 29th. The document was said to include a restructuring plan to secure liquidity by spinning off and selling the corporate supermarket (SSM) Homeplus Express and to close stores with low profitability.
Some in the industry raised the possibility that Homeplus Co. could move toward liquidation after the spin-off sale, but Homeplus Co. drew a line, saying, "A liquidation plan was not included at all."
However, along with the push to sell Homeplus Express, the rehabilitation plan includes closing 41 underperforming stores sequentially over the next six years. The industry is leaning toward a scenario of pursuing a resale after intensive restructuring through the sale and store rationalization.
Homeplus Co. halted operations at branches including Gayang, Jangnim, Ilsan, Woncheon, and Ulsan Buk-gu at the end of last year. This month, the Gyesan, Siheung, Ansan Gojan, Cheonan Sinbang, and Dongchon stores will also close.