SEOUL: A Seoul court has authorized a process to identify a new owner for the financially troubled e-commerce platforms TMON and WeMakePrice, which have been under court-led rehabilitation since early September after failing to make vendor payments, according to an official statement on Wednesday. According to Yonhap News Agency, the Seoul Bankruptcy Court has appointed EY Hanyoung accounting firm to oversee the sale of the e-commerce platforms. This move aims to resolve the significant payment delays currently facing TMON and WeMakePrice, as confirmed by Jo In-cheol, the court-appointed custodian. The platforms are being offered for sale separately, but there is potential for them to be sold as a package. The sale process will utilize a stalking horse bid approach, where a preliminary bidder proposes a price for the platforms before a formal auction. Other interested parties can then submit their bids during the auction. If a higher bid is received, the initial bidder must decide whether to match the new b id or withdraw. EY Hanyoung is set to accept letters of intent from interested companies by November 8, with plans to select a preferred bidder by December 11. Under the rehabilitation program, the firm will evaluate the going concern value versus the liquidation value of the two platforms by November 29. If the going concern value surpasses the liquidation value, TMON and WeMakePrice are expected to submit comprehensive rehabilitation plans to the court by December 27. Jo emphasized that the objective of pursuing a merger and acquisition before the court rules on the rehabilitation plans in December is to expedite the payments owed to vendors. The platforms initially filed for corporate rehabilitation in late July. The payment issues have prompted local financial authorities to investigate, revealing over 1.5 trillion won (approximately US$1.1 billion) in unpaid bills and liquidity concerns. These financial challenges have reportedly stemmed from aggressive merger activities undertaken by their owner, Sin gapore-based Qoo10.
