The court has decided to terminate the corporate rehabilitation proceedings for Homeplus.

The 4th Bankruptcy Division of the Seoul Bankruptcy Court issued the decision to terminate the corporate rehabilitation proceedings for Homeplus today.

This decision follows the judgment that the revised rehabilitation plan submitted by Homeplus on June 30 had a low probability of successful implementation.

The plan included restructuring the company by focusing on 67 core hypermarket locations to improve business viability, but it failed to provide a concrete plan to secure the 200 billion won in minimum funding required for execution.

The court had previously extended the deadline for approving the rehabilitation plan from the original date of March 4 to May 4, and had further extended it until today.

While rehabilitation proceedings typically conclude one year after the commencement date, they can be extended for up to six months if there are unavoidable circumstances.

Given that the rehabilitation proceedings for Homeplus began on March 4 of last year, there was still room to extend the deadline until September.

However, the court determined that further extensions would be ineffective and chose to halt the rehabilitation process.

With this decision, the comprehensive injunction that had been preventing creditors from carrying out compulsory execution, provisional attachments, and auctions has also been lifted.