Lotte Healthcare Resolves to Liquidate Corporation After Over 3 Years
Procedures to Be Completed by First Half of Next Year
Lotte Group is ending its Lotte Healthcare business after about three years.
On the 24th, Lotte Holdings held an extraordinary general meeting of shareholders and resolved to liquidate its wholly-owned subsidiary, Lotte Healthcare. The liquidation process is expected to be completed by the first half of next year. Previously, Lotte Healthcare was established as a corporation after receiving a 70 billion KRW investment from Lotte Holdings in April 2022, and it is now closing the related business after about three years since starting operations.
Lotte explained, "After thoroughly reviewing the healthcare market environment and business direction, we judged that the personalized digital healthcare business would be difficult to sustain growth, so we decided to shift our business direction. Going forward, we plan to promote the group's healthcare business in areas such as senior towns and food tech."
A representative business related to this is Hotel Lotte's senior residence brand 'VL (Vitality & Liberty)'. VL offers an urban silver lifestyle based on 50 years of accumulated Lotte Hotel service experience. Hotel Lotte plans to start operating 'VL Lower (Busan Gijang)' in January next year and 'VL Le West (Seoul Magok)' in October.
Meanwhile, Lotte plans to provide opportunities for Lotte Healthcare employees to transfer to relevant departments within group affiliates, considering their job competencies. A Lotte official stated, "A considerable number of employees have already transferred, and additional transfers to affiliates are underway."
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