New Kids On, a company specializing in e-commerce and fashion for infants and children, has completed its merger process with KB No.28 SPAC.
New Kids On held a board meeting to report the completion of the merger in line with the scheduled merger date last month, and on the 25th, disclosed its securities issuance performance report.
New Kids On and KB No.28 SPAC each held an extraordinary general meeting of shareholders on May 22 and approved the merger proposal. After the merger, the total number of shares issued will be 7,902,000, and based on an issue price of 10,915 KRW per share, the expected market capitalization is approximately 86.2 billion KRW. The new shares from the merger are scheduled to begin trading on the KOSDAQ market on July 9.
Founded in 2013, New Kids On is a company that manufactures and sells clothing and cosmetics for infants and children. Leveraging global intellectual property (IP) characters such as Carebears and Disney, the company offers differentiated designs in children's apparel at reasonable prices. Through its subsidiary, Ecodermalab, the company also operates the organic vegan cosmetics brand ORGABON. Next year, New Kids On plans to launch a new business focused on products for infants and toddlers, including anti-reflux cushions, nap blankets, and baby carriers.
The company has built a strong customer base, particularly among Millennial and Gen Z parents who are familiar with e-commerce. Its products are available on major platforms such as Coupang, Kakao, and Naver Brand Store, as well as through its own integrated brand mall, Newkiki. Last year, the company posted consolidated sales of 50.4 billion KRW and operating profit of 4.5 billion KRW, continuing its growth trajectory.
Joo Chunseop, CEO of New Kids On, stated, "Despite low birth rates and an aging population, the '10 pocket' phenomenon?where parents, grandparents, and extended family all spend for a single child?is driving growth in the overall infant and children's market, and our business opportunities are expanding as a result." He added, "With our KOSDAQ listing as a starting point, we will accelerate our new business in infant and children's products and transform our Newkiki mall into a global platform to expand into overseas markets, including the United States, China, and Japan."
New Kids On plans to invest the funds raised through this merger in constructing a new logistics center, developing new products for infants and toddlers, and converting Newkiki into a global platform as well as overseas marketing.
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