Naver is making an additional investment of ₩130 billion (approximately $90.8 million) in KREAM, a limited-edition trading platform. The company has decided on this investment to secure funds for business expansion.
Naver announced on the 4th that its board of directors convened and approved participating in KREAM’s capital increase, contributing ₩130 billion (approximately $90.8 million). Through this investment, Naver will newly acquire 38,681 common shares of KREAM.
Naver stated the purpose of this investment as “securing funds for enhancing business scale, among other objectives.” Industry observers expect the newly raised funds to be used for KREAM’s new business initiatives or service expansion.
KREAM is a platform for trading limited-edition products such as luxury goods, clothing, and sneakers. It originated from Naver’s subsidiary Snow and was spun off in 2020. As of the end of last year, Snow held a 38.48% stake and Naver held 4.83%.
Upon completion of this investment, Naver’s cumulative investment in KREAM will increase to a total of ₩179.99 billion (approximately $125.7 million).
Naver has previously continued its investments in KREAM, highly evaluating its growth potential. In particular, with the rapid growth of the resale market recently, this move is interpreted as part of Naver’s strategy to strengthen its position in that market through KREAM.
Meanwhile, attention is also being paid to how Naver’s stake in KREAM will change from the current 4.83% as a result of this capital increase. Naver maintains indirect control over KREAM through Snow, its major shareholder.
Add to Google Preferred Sources
Once added, BigGo Finance appears first in Google Search Top Stories, so you get the broadest, most up-to-the-minute, and most comprehensive global financial news first.