Homeplus Temporarily Closes Stores Nationwide Amid Funding Crisis

Homeplus has announced a temporary halt to operations at its nationwide supermarkets starting July 13 due to a depletion of operating funds. The decision follows the termination of its rehabilitation process, which left the company unable to secure emergency funding necessary for continued operations.

In a press release, Homeplus stated that it would enter a temporary closure of its supermarkets. However, tenants within the shopping malls associated with Homeplus can continue their operations if they wish.

Homeplus explained, "We have exhausted all operating funds, making it impossible to cover product payments or even basic utility costs to maintain our stores."

Concerns about store safety have also risen as facility management staff have reportedly left the company. Last weekend, a promotion offering discounts on certain products, including alcohol, attracted a surge of customers, leading to long lines at checkout. However, industry experts believe this was merely a temporary inventory clearance and not a sign of operational recovery.

Earlier, the Democratic Party's Euljiro Committee called on representatives from MBK Partners and Meritz Financial Group on July 9 to secure emergency funding and develop a recovery plan, but no concrete funding strategy has emerged yet.

Meanwhile, the deadline for an immediate appeal against the decision to terminate the rehabilitation process is July 20. The court has indicated that a funding plan could serve as grounds for an appeal.

If a bankruptcy filing occurs before the end of the rehabilitation process, or if the court declares bankruptcy on its own accord, a related bankruptcy procedure may be initiated. This procedure is designed to prevent companies from being left in limbo after the termination of their rehabilitation process.