Homeplus rehabilitation terminated
Analysis based on 7 articles · First reported Jul 03, 2026 · Last updated Jul 03, 2026
The termination of Homeplus's rehabilitation proceedings by the South Korea — Seoul Bankruptcy Court will likely lead to the company's bankruptcy, negatively impacting its 12,000 direct employees, 1,000 related jobs, and over 150 small suppliers owed payments. Holders of more than 400 billion won in commercial paper also face significant recovery challenges, creating uncertainty in the retail and financial sectors.
The South Korea — Seoul Bankruptcy Court terminated rehabilitation proceedings for the troubled discount store chain Homeplus, pushing the company closer to liquidation. The court rejected Homeplus's revised rehabilitation plan, submitted on June 30, citing its failure to secure at least 200 billion won (US$130 million) in necessary operating funds. Homeplus, wholly owned by private equity firm EQT AB, has been financially strained due to a slump in the discount store industry and entered court-led rehabilitation in March 2025. A standoff over debtor-in-possession financing with its largest creditor, Meritz Financial Group, further undercut its turnaround efforts. Although Homeplus sold its Homeplus Express business to NS Shopping for 120.6 billion won, these funds were insufficient to stabilize the larger hypermarket business. Homeplus has a 14-day window to appeal the decision, with the possibility of rehabilitation resuming if new financing is secured.
Set up alerts, explore entity relationships, search across thousands of events, and build custom intelligence feeds.
Open Dashboard