Court declares WeMakePrice bankrupt
WeMakePrice's office is seen in this July 25, 2024 file photo. Korea Times photo by Park Si-mon
A Seoul court on Monday announced the liquidation of e-commerce platform operator WeMakePrice, two months after terminating the company's rehabilitation proceedings.
WeMakePrice, along with its then sister company TMON, entered court-led rehabilitation proceedings in July last year, after they struggled to make payments to vendors due to liquidity issues.
The Seoul Bankruptcy Court in September this year terminated the proceedings for WeMakePrice as it failed to submit a rehabilitation plan.
According to industry sources, the bankruptcy of WeMakePrice will affect some 108,000 people and their financial damage is estimated at 600 billion won (US$413 million).
The company's total assets were tallied at 48.6 billion won, while its debts reached 446 billion won.
The value of its ongoing concern was set at 223 billion won, while its liquidation value stood at 13.4 billion won.
WeMakePrice has sought for a swift acquisition to pay off its liabilities but has struggled to find a buyer.
Meanwhile, TMON was acquired by grocery delivery platform Oasis Corp. in June after the court approved its rehabilitation plan.