[Exclusive] 'Hyubeche' Holding the Key to Kakao Mobility Sale Begins Activities

Plan to Prepare Win-Win Proposal This Month
Possibility of Withdrawal from Sale Depending on Discussions

[Asia Economy Reporter Seungjin Lee] Kakao Mobility has completed the formation of a consultative body to present concrete coexistence measures to Kakao ahead of its sale. Now, the key to the sale of Kakao Mobility has shifted to Kakao Mobility itself.

According to the IT industry on the 5th, Kakao Mobility completed the formation of the "Consultative Body for the Sustainable Growth of Mobility and Society" and began activities to prepare coexistence measures from the 1st of this month.

Earlier, it was revealed that Kakao was considering selling its stake in Kakao Mobility to a private equity fund, causing internal strife within the Kakao community.

In response, last month, Ryu Geung-seon, CEO of Kakao Mobility, personally requested Kakao to postpone the sale. Instead, CEO Ryu proposed to form a consultative body to establish and deliver measures for Kakao Mobility to fulfill its social responsibilities independently.

Kakao responded positively to Kakao Mobility's proposal and decided to postpone the sale for the time being. Depending on the direction of future discussions, there is also a possibility that Kakao may decide to withdraw the sale altogether.

The consultative body formed by Kakao Mobility consists solely of internal members. Although the exact size is unknown, it is reported to be composed of various members to understand the difficulties Kakao Mobility is currently facing from multiple perspectives.

It includes in-house experts who can discuss issues such as the controversial infringement on local businesses domestically, relations with overseas operations, and understanding of the platform business itself, as well as employees of various seniority levels to grasp current problems felt by different generations. The consultative body was formed through employee recommendations and voluntary participation.

After thoroughly identifying the issues, the consultative body plans to prepare coexistence measures within this month. On the 25th of last month, CEO Ryu held an all-hands meeting with all Kakao Mobility members to discuss the postponement of the sale and mentioned, "I hope to present measures by August."

Kakao also announced on the 4th during the Q2 earnings conference call that it will actively support Kakao Mobility.

Jae-hyun Bae, Chief Investment Officer (CIO) of Kakao, stated, "Recently, Kakao Mobility formed a consultative body for the sustainable growth of mobility and society and expressed its intention to prepare new growth measures. Kakao respects this and plans to actively support it."