Korea’s M&A Market Poised for $25 Billion in Deals
South Korea’s mergers and acquisitions (M&A) market is on track to reach deals worth a whopping 37 trillion won ($25 billion) in 2025. This follows a welcome uptick in transaction volumes last year, marking the first increase in three years.
According to experts in the investment banking (IB) industry, the total estimated value of companies currently involved in M&A processes or up for sale in Korea is around 37 trillion won. This figure surpasses the total from 2023, demonstrating a positive trend in the market.
The IB industry predicts that the market will continue to thrive thanks to proactive restructuring efforts by major conglomerates, growing interest from foreign investors due to exchange rate fluctuations, and the listing of assets at competitive valuations. Key assets set to drive activity in the market include CJ Cheiljedang Corp.’s bio division valued at 6 trillion won, SK siltron Co. at 4 trillion won, and SK ie technology Co. at 1.5 trillion won.
Private equity funds (PEFs) are also actively seeking buyers for assets like Lotte Card Co. (3 trillion won), Lotte Non-Life Insurance Co. (2 trillion won), and Preedlife Co. with a valuation of approximately 1 trillion won. With PEFs typically aiming to exit investments within 5 to 10 years, these firms are under pressure to divest these holdings.
Overall, it’s an exciting time for the M&A market in South Korea, with significant deals on the horizon and a boost in investor interest.
