Skonec: "Normal Contract with Dareum, No Issues at All"

Skonec Entertainment (Skonec) has announced that it will take a firm stance regarding the recent controversy over its contract with Dareum Co., Ltd. The company decided it was necessary to set the record straight after some media outlets published articles containing claims such as "transactions with a non-existent corporation," which heightened investor anxiety.

According to Skonec on May 13, some media outlets recently reported that Skonec had entered into a real estate transaction with Dareum, a corporation with unclear substance, and raised suspicions that the asset in question also lacked authenticity. In addition, questions were raised regarding the whereabouts of Dareum's CEO and the company's operational status.

As a result, the market reacted sharply to the media reports, causing Skonec's share price to temporarily decline. Doubts also spread rapidly through online communities and social media.

Regarding this, a Skonec representative stated, "Dareum, mentioned in the articles, is a legitimate corporation with 1.3 billion KRW in capital and total assets of 27.2 billion KRW. Due to tax-saving considerations, the company is currently in the process of relocating its main office address, and employees are working as usual on the seventh floor of the building."

The representative continued, "The commercial real estate in Uiwang City, which is at the center of the controversy, is a real asset that actually exists. It is registered both in the certified copy of the real estate register and the building register, and multiple tenants are currently operating businesses there. As a standalone building, the registration procedures and lease structure are clear, making it a legitimate commercial asset."

Regarding the issue of paying 63% of the contract price as a deposit, the company explained, "This was determined based on the nature of the contract and mutual agreement." Skonec claims that while the standard deposit ratio in the real estate market is typically between 10% and 30%, there are cases where more than 50% is paid in advance, depending on circumstances.

A Skonec representative stated, "The ratio was adjusted in consideration of the asset’s discount rate and subsequent development plans at the time of the contract. This was a legitimate outcome based on mutual agreement between the two companies. Currently, interior construction is underway on the fourth floor of the building recently purchased by Skonec to accommodate a hospital tenant."

As the controversy grew, both Skonec and Dareum announced their intention to request corrections for the reports, stating that "the articles contain false information amounting to defamation." They also plan to take strong legal action through their legal representatives.

A Dareum representative stated, "The articles, published without fact-checking, have caused serious damage to the company's image," and added, "If there is no correction, we will not hesitate to pursue both civil and criminal legal action."

A Skonec representative also commented, "Unsubstantiated suspicions reported in the media have caused unnecessary confusion. This contract was signed based on our management’s judgment, and in fact, it was a strategic decision made with the intention of utilizing the real estate for profitable purposes in the future."