Toss to acquire SSG Pay and Smile Pay
A promotional image of Smile Pay / Screenshot from Gmarket's YouTube accountBy Lee Yeon-wooToss has tentatively agreed to acquire Shinsegae Group's online payment services, SSG Pay and Smile Pay, for approximately 700 billion won ($537 million), according to market sources and media reports, Thursday.Just last week, the retail giant selected Viva Republica, the operator of Korean fintech unicorn Toss, as the preferred bidder to acquire SSG Pay and Smile Pay. These are the online payment apps belonging to Shinsegae's online shopping platforms, SSG.com and Gmarket, respectively.Should both parties come to a final agreement, Toss Payments will first make a payment of 100 billion won, with the remaining balance to be paid gradually. Market insiders predict that contracts for the payment app service acquisition will be finalized by the end of this month at the latest.The decision to adopt this approach is driven by Toss' goal to minimize cash outflow. Shinsegae, meanwhile, is keen to continue its collaboration with Toss, a rising player in the payment market.As of the first half of 2022,
Jul 6, 2023By Lee Yeon-woo