Homeplus secures 2 trillion‑won emergency loan from Meritz and MBK to avert bankruptcy

South Korean retailer Homeplus reached a provisional agreement with its majority shareholder MBK Partners and its largest creditor Meritz Financial Group to obtain an emergency operating loan of about 2 trillion won. MBK chairman Kim Byung‑joo is expected to provide a personal guarantee for the full amount, allowing Meritz to lend the funds under a DIP (debtor‑in‑possession) financing structure. Meritz’s board is slated to vote on the loan, after which Homeplus can file an immediate appeal to overturn a court ruling that ordered the termination of its corporate rehabilitation.

The deal was forged under intense pressure from the ruling Democratic Party, which has called for a parliamentary hearing on the Homeplus case. Labor unions and suppliers have warned that, despite the cash infusion, restoring store operations will be difficult, citing pending issues such as utility payments, supply‑chain settlements and staff layoffs. Meanwhile, second‑hand platforms have barred the resale of Homeplus gift certificates, leaving many consumers unable to use them.

If the loan is approved, Homeplus will seek to resume its large‑format stores and begin negotiations with vendors, but analysts caution that the funding is only a stopgap and that the retailer must present a viable restructuring plan to survive long‑term.