Chicken franchise Genesis BBQ is reviewing the acquisition of Wemeph, which is undergoing corporate rehabilitation procedures (court management).
On the 8th, according to the distribution industry, BBQ submitted a letter of intent (LOI) to Wemeph last week. A BBQ official noted, “We are in the stage of review.”
Last year, corporations T-mon and Wemeph (T-meph), which entered corporate rehabilitation procedures, selected EY Han Young as the broker for the sale and have been pushing for mergers and acquisitions (M&A) before the rehabilitation plan is approved.
Regarding T-mon, last month, fresh food early morning delivery specialist OA was selected as a conditional acquirer. EY Han Young entered into a conditional investment contract with OA for the acquisition of T-mon on the 6th of last month.
Meanwhile, the first trial for 10 executives, including Gu Young-bae, the representative of Qoo10 Group, who caused a large-scale unsettled situation at T-meph, was held that day. They are facing charges of violating the Act on the Aggravated Punishment of Specific Economic Crimes (breach of trust). In this trial, they fully denied the charges.
On that day, representative lawyer Ryu Hwa-hyun stated, “We carry a heart of apology for the victims and are currently working to minimize damages by facilitating the acquisition by other corporations related to the rehabilitation application.”
The unsettled situation at T-meph that occurred at the end of July last year resulted in damages of 1.5 trillion won, affecting 470,000 buyers (130 billion won) and 56,000 sellers (1.3 trillion won), totaling 530,000 individuals.