SK Networks is seeking a buyer to take over its uniform business, local media reported Tuesday.
According to reports citing an unidentified SK Networks official, the company is looking for a buyer, and a number of potential buyers conducted preliminary due diligence on the matter last week.
The company, however, said that the reports were unconfirmed and that the issue remains undecided.
“The issue may be one that could be considered, but no decision regarding the matter has been made,” an SK Networks’ public relations official said. He added that the PR department has been unable to confirm reports about the preliminary due diligence reported to have taken place last week.
The company is said to have arrived at the decision in light of the limitations of the school uniform market and concerns that its presence in the market, which is considered to be the domain of smaller firms, was contradictory to the recent shared-growth drive.
According to an SK Networks official, the company holds between 20 to 25 percent of the country’s market for school uniforms and related revenues come in at roughly 100 billion won ($93.4 million) on an annual basis.
Last year the company’s prestige marketing division, which includes the school uniform business, raised 465.6 billion won in sales.
By Choi He-suk (email@example.com