SEOUL, January 13 (AJP) - Binggrae said Tuesday it will merge its wholly owned subsidiary, Haitai Ice Cream, into the parent company, a move aimed at improving efficiency and sharpening competitiveness in South Korea’s ice cream market.
Binggrae's board has approved the merger plan, under which Binggrae will absorb Haitai Ice Cream, which it has owned outright since 2020. Binggrae plans to hold a final board vote on Feb. 12 and complete the merger on April 1.
Since acquiring Haitai Ice Cream in October 2020, Binggrae has pursued joint marketing and operational integration, including shared logistics centers and sales offices. The company said Haitai returned to profitability within two years of the acquisition and has continued to post sales growth.
Biggrae said the merger will allow the two firms to respond more nimbly to shifting market conditions by consolidating overlapping organizations, unifying work processes and optimizing infrastructure to improve profitability.
Binggrae also plans to expand sales through overseas markets and e-commerce channels. Its ice cream portfolio includes Melona, Together and Bungeo Samanco, while Haitai Ice Cream’s brands include Bravo Cone, Nugaba, Ssangssangba and Babambar.
According to data from the Korea Agro-Fisheries & Food Trade Corp., Binggrae and Haitai Ice Cream together held a 41.7 percent share of South Korea’s ice cream market in 2024.
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