Classys Accelerates Sale of Yeoksam-dong 'Classys Tower'... Advisory Firm JJL Korea Selected

Expected Transaction Value Over 60 Billion Won... Liquidity Securing Prospects

[Asia Economy Reporter Lee Gwan-joo] Classys, the manufacturer of the skin lifting device 'Shurink,' is accelerating the sale of 'Classys Tower' located in Yeoksam-dong, Gangnam-gu, Seoul.

On the 20th, Classys announced that it has selected JLL (Jones Lang LaSalle) Korea as the advisory firm for the sale of Classys Tower. JLL Korea is expected to conduct marketing and bidding between July and September, and select a preferred negotiation partner to proceed with due diligence between September and November.

Classys acquired Classys Tower in 2017 for 29.5 billion KRW. The transaction price rumored in the industry is over 60 billion KRW. It is expected that the capital gain will enable securing liquidity for new M&A (mergers and acquisitions) and repayment of borrowings.

Completed in September 2017, Classys Tower has a total floor area of 3,617㎡ spanning from four basement levels to 17 floors above ground. The exclusive use ratio is about 66%, which is higher than the average for offices in Gangnam. It is conveniently located at the Renaissance Hotel intersection, where Teheran-ro and Eonju-ro cross.

Classys is preparing to move to a new office building. The former Anje Tower, completed in 2003, was purchased from the Correctional Officers Mutual Aid Association last October for 125 billion KRW. Prior to this, in 2019, Classys acquired part of the 7th floor of Testa Tower located in Misagangbyeon District, and in June and July of last year, it purchased parts of H Business Park in the Munjeong Legal Town area of Songpa-gu, Seoul. As of the first quarter of this year, the book value of real estate owned by Classys (excluding Classys Tower) is 175.4 billion KRW.