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Photo courtesy of Yonhap News |
[Alpha Biz= Paul Lee] South Korea’s Fair Trade Commission (FTC) is continuing its antitrust review of Naver Financial’s proposed acquisition of Dunamu, while also commissioning a separate research study, according to industry sources.
The FTC began its review after receiving the filing on Nov. 28 last year. However, the process has exceeded the statutory review period of up to 120 days, raising expectations that the review may take longer than initially anticipated.
According to IT and cryptocurrency industry sources on April 22, the FTC is currently conducting a research project on the proposed business combination after receiving supplementary materials from Naver Financial.
Prior to the formal filing, the FTC had already commissioned a separate study in the second half of last year to assess the competitive impact of the broader virtual asset trading market. A preliminary report by the industry-academia cooperation foundation of Dongguk University pointed out signs of monopolization in the domestic cryptocurrency exchange market.
Regarding the additional research now underway, an FTC official stated that requests for supplementary materials are a routine part of merger reviews, adding that there are no extraordinary circumstances specific to the Naver Financial–Dunamu deal. The official explained that such requests are typically made when submitted data is insufficient, requiring further clarification or supporting evidence.
Both Naver Financial and Dunamu are said to be cooperating fully with the FTC’s review process, while also hoping for a swift conclusion. However, concerns are growing among industry participants and experts over the prolonged nature of the review.
Alphabiz Reporter Paul Lee(hoondork1977@alphabiz.co.kr)
