[2025 Audit] "Sales Plummeting, No Funds for Restoration, Can't Even Close"... Tearful Homeplus Store Owner

Kim Byungguk, Representative of Store Owners, Appears as Witness at Political Affairs Committee Audit
Calls for Support for M&A Involving Public Entities

Kim Byungguk, representative of the Homeplus Store Owners Association, became emotional as he spoke about the difficulties faced by store owners due to the prolonged corporate rehabilitation proceedings of Homeplus. He explained that, with declining sales, it is even difficult to close stores because of the costs required for restoration, and he appealed for attention and support from both the political community and the government.

Kim Byungguk, representative of the Homeplus Store Owners Association, is speaking as a witness at the National Assembly's Political Affairs Committee audit on the 14th. National Assembly Internet Broadcast System screen.

On the 14th, Kim appeared as a witness at the National Assembly's Political Affairs Committee audit, which was held to review the Fair Trade Commission, the Personal Information Protection Commission, and other agencies. He said, "Small business owners rely on the holiday and year-end seasons for increased sales, but during this Chuseok holiday, one store owner in Homeplus made only 50,000 won in sales for an entire day. Our sales continue to plummet, yet Homeplus is making no effort at all," he said, his voice trembling.

At the audit, Kim Byungjoo, chairman of MBK Partners-the private equity fund that is the major shareholder of Homeplus-and Kim Kwangil, vice chairman who also serves as co-CEO of Homeplus, appeared as witnesses. They stressed that finding a new owner through a merger and acquisition (M&A) before the rehabilitation plan is approved is the only way to save Homeplus, and they pledged to do their best to make this happen.

In contrast, Kim Byungguk pointed out, "There is talk of 500 billion won, 700 billion won, and even a personal contribution of 100 billion won, but to the general public, these numbers sound unrealistic. We cannot even close our stores because we do not have the 12 million won required for restoration costs that we owe to Homeplus." He added, "Homeplus withholds store owners' sales proceeds for up to 60 days before settling accounts. During this period, there have been reports of unpaid electricity bills to KEPCO and missed National Pension contributions. We are always anxious because we never know when our payments might be delayed."

Kim Byungguk emphasized, "I hope the government and the National Assembly will intervene so that a healthy M&A involving public entities can take place." He continued, "Although there are claims that closure plans for some Homeplus stores have been put on hold, in reality, products are being removed from the shelves, and customers who visit are turning away after seeing the empty interiors. In addition to revitalization plans for the stores, urgent management funds are also needed to support store owners."

Meanwhile, in response to a question from Political Affairs Committee Chairman Yoon Hanhong about the likelihood of a successful M&A for Homeplus, Vice Chairman Kim Kwangil said, "At this point, I would say the chances are about fifty-fifty. We are at the stage of persuading and negotiating with potential buyers, and if the final decision-makers at the owner level agree, a deal could be made. However, we have not been able to clear that final hurdle yet."