IMM Private Equity to purchase 7.7% stake of furniture company Hanssem

Hanssem's headquarters in Sangam-dong, western Seoul [HANSSEM]

IMM Private Equity is purchasing a 7.7 percent stake of Hanssem, Korea’s largest furniture company, for 100 billion won ($76.2 million).

The purchase is being made in the open market via a tender offer at 55,000 won per share.

The offer, starting today, will be valid until March 21.

Korea Investment & Securities is handling the transaction.

Hanssem's shares closed at 44,850 won on Feb. 28. The offer made by IMM is 22.6 percent higher.

IMM became the largest shareholder of the furniture company after it bought 27.7 percent stake from former chairman Cho Chang-geol early last year.

The share price was 221,000 won apiece to acquire the stake for 1.45 trillion won.

IMM raised 855 billion won of the 1.45 trillion-won-fund through acquisition financing from its stockholders such as Shinhan Bank and Korea Investment & Securities.

The tender offer stands as an agreement between the lenders and IMM as Hanssem shares, which once exceeded 120,000 won per share, plummeted to below 50,000 won.

IMM’s stake in Hanssem could jump to 36 percent if the offer is completed at expected purchase of shares.

Hanssem shares are being traded at 53,400 won as of 10:52 a.m., a 19.06 percent jump compared to two days before.

BY LEE JAE-LIM [lee.jaelim@joongang.co.kr]