Seoul Private Equity seeks to buy Winia under court receivership

Seoul Private Equity has signed a conditional agreement to buy Winia Co., a home appliance manufacturer under court receivership, through a stalking-horse acquisition, Winia said in a regulatory filing on Tuesday.

Founded in late 2023, Seoul Private Equity specializes in distressed assets.

The stalking-horse process allows the troubled company to secure a preliminary deal with a selected bidder — known as the stalking-horse bidder — before opening up the competitive bidding process.

If no higher bids emerge, the stalking-horse bidder finalizes the acquisition under pre-agreed terms.

Now that the M&A process has kicked off, Winia needs to submit a self-rehabilitation plan to the Seoul Bankruptcy Court by March 20, according to a separate filing by Winia on Tuesday.

Winia, formerly part of Dayou Winia Group, has been seeking a new owner since December 2023.

Dayou Winia Group acquired Winia, formerly Winia Mando, in 2014. The group purchased Dongbu Daewoo Electronics Co., later rebranded as Winia Electronics Co., in 2018, but has struggled with financial difficulties since 2020.

Write to Da Eun Choi at max@hankyung.com