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The Homeplus headquarters in Gangseo-gu, Seoul. / Yonhap News

The court has terminated the corporate rehabilitation proceedings for Homeplus. Homeplus can now seek a fresh review by filing an immediate appeal within two weeks.

The Seoul Bankruptcy Court's Rehabilitation Division 4 (Chief Judge Jung Joon-young) ruled to terminate the rehabilitation process for Homeplus on July 3, determining that the revised corporate rehabilitation plan lacked feasibility.

"While the sale of the Homeplus Express business unit was finalized, revenue has declined as operations continued without securing an M&A deal for the remaining business divisions," the court explained. "Concurrently, public-interest claims such as wages, supply payments, and taxes have surged. Since the Homeplus rehabilitation plan, including the revised proposal, is unfeasible, we have decided to terminate the proceedings without referring it to a meeting of interested parties for deliberation and voting."

Although the court has issued a termination order, Homeplus will not face immediate bankruptcy. The company retains the right to file an immediate appeal against the court's decision within 14 days.

Given that the termination was prompted by a lack of feasibility due to a shortage of operating capital, Homeplus could secure a justifiable case if it manages to raise the necessary funds and files an appeal within the designated window. If the appeal is accepted, the Seoul Bankruptcy Court itself can revoke the termination order before the case moves to a higher court, subsequently scheduling a meeting of interested parties to deliberate and vote on the rehabilitation plan.

Homeplus previously submitted its revised corporate rehabilitation plan on June 30. However, it failed to present a concrete plan to secure the 200 billion won in operating capital required to execute the proposal.

                                                                                                        Son Seung-hyun