Republic of Korea: Korean Fair Trade Commission announced investigation into Shinsegae–Alibaba joint venture

On 25 January 2025, the Korean Fair Trade Commission (KFTC) announced an investigation into a Shinsegae-Alibaba joint venture over competition concerns. The deal involves Apollo Korea, a Shinsegae affiliate, acquiring a 50% stake in Grand Ophus Holdings, an Alibaba affiliate. This acquisition will give Shinsegae and Alibaba joint control over Grand Ophus Holdings. Grand Ophus Holdings, in turn, will fully own both G Market and AliExpress Korea. G Market is currently the third-highest ranked e-commerce provider in Korea. AliExpress Korea has rapidly grown its influence and user base, recently surpassing G Market in Monthly Active Users. Therefore, the KFTC believes this merger will significantly impact the Korean e-commerce market, and the transaction is considered a horizontal combination in the open market sector.