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Lotte World Tower (Photo: Lotte Corporation) |
[Alpha Biz= Kim Jisun] SEOUL, South Korea – June 11, 2025 — Lotte Corporation (KRX: 004990) has sold shares worth KRW 126 billion in its logistics affiliate Lotte Global Logistics to Korea Investment & Securities and Samsung Securities, in response to a put option exercised by existing financial investor HPE (LLH Fund).
According to a regulatory filing submitted via DART (the Korean Financial Supervisory Service’s disclosure system), Lotte sold 6,044,952 common shares of Lotte Global Logistics—4,798,925 shares to Korea Investment & Securities and 1,246,027 shares to Samsung Securities.
The transaction was made under a 2017 shareholders’ agreement between Lotte and HPE, which included a put option clause triggered under specific conditions if Lotte Global Logistics failed to go public. After the company withdrew its planned KOSPI IPO in March 2025 due to weak institutional demand during the book-building process, HPE exercised the put option.
Lotte Corporation designated Korea Investment & Securities and Samsung Securities as third-party buyers in accordance with the agreement. Following the share transfer, both securities firms entered into a Price Return Swap (PRS) agreement with Lotte, using the shares as the underlying asset. The PRS contract, set for a three-year term, will settle any difference between the agreed-upon reference price and the eventual selling price of the shares.
Following the transaction, Lotte Corporation retains a 46.04% stake in Lotte Global Logistics. Hotel Lotte holds 15.05%, while Korea Investment & Securities and Samsung Securities now hold 14.04% and 3.65%, respectively.
The transaction highlights Lotte’s continued restructuring of its logistics arm and follows challenges in its capital market strategy for the unit.
Alphabiz Reporter Kim Jisun(stockmk2020@alphabiz.co.kr)
