[Featured Stock] Emart Rises on Expectations for Launch of 'Integrated Emart'

Emart is showing strength amid expectations for the launch of the 'Integrated Emart.'

As of 10:38 AM on the 17th, Emart is trading at 61,100 KRW, up 900 KRW (1.50%) from the previous day. This marks a rebound after four days.

On the previous day, Emart announced that it had decided to merge with Emart Everyday through an absorption merger. Emart stated, "We expect to maximize synergy effects across various business sectors, including the distribution sector, and improve management efficiency through the integration of management resources via the merger," adding, "Accordingly, we anticipate a positive impact on the company's finances." The scheduled merger date is June 30, and the integrated Emart corporation will be launched once registration is completed on July 1.

The market also expects a future merger with Emart24. Jin-Hyeop Lee, a researcher at Hanwha Investment & Securities, said, "With CEO Chae-Yang Han being appointed as the co-CEO of Emart, Emart Everyday, and Emart24, and the officialization of integrated sourcing, the anticipated merger of the three companies is expected," adding, "Although this time only Emart Everyday was merged in a small-scale merger, the possibility of merging Emart24, a 100% subsidiary, is also fully open." He expressed the view that the launch of the integrated Emart is expected to improve operating profit. The researcher forecasted, "Integrated sourcing could improve operating profit by approximately 150 billion KRW, and if cost efficiencies from logistics and other functional integrations are added, the effect could be even greater. The benefits of integrated sourcing and cost efficiencies are expected to be reflected starting next year."