'Corporate Rehabilitation' CEO Ballan Meets Unsettled Victims to Discuss Normalization Plan

Revealing the Background of Rehabilitation Filing and Merger and Acquisition Plans

Balran, an online luxury platform, is undergoing corporate rehabilitation procedures (court receivership), during which CEO Choi Hyung-rok has been meeting consecutively with unsettled sellers to disclose payment repayment methods and plans.

According to Balran on the 15th, CEO Choi met with about 10 top sellers who account for approximately 27% of Balran's total transaction volume on the 10th, followed by a meeting with about 10 secondary sellers on the same day. Key executives of Balran and advisory lawyers attended this meeting.

In a private meeting, CEO Choi apologized for the unsettled payment situation and the sudden filing for corporate rehabilitation. He also explained the background of the rehabilitation application, merger and acquisition (M&A) plans, and measures to normalize sales. Some sellers reportedly protested at the meeting, demanding prompt repayment of unpaid sales proceeds.

Earlier, Balran sparked controversy by suddenly filing for corporate rehabilitation on the 31st of last month while failing to pay sales proceeds to some registered sellers on time. As of the 4th, Balran's commercial claims amounted to approximately 18.79 billion KRW, of which unsettled payments reached about 17.69 billion KRW.

The deadline for Balran to submit its rehabilitation plan is June 27. After Balran prepares and submits the list of creditors to the Seoul Rehabilitation Court on the 18th, creditor registration will take place by July 9, and creditor investigations are scheduled to be completed by July 23.