이 기사는 2021년 08월 18일 07:51 thebell 에 표출된 기사입니다.

A consortium led by GS Retail will acquire Yogiyo, the country’s second-largest online food delivery app, putting together the last piece of puzzle to strengthen its quick commerce business.

GS Retail said Friday that it will acquire a 100% stake in Delivery Hero Korea, which operates Yogiyo, jointly with financial investors Affinity Equity Partners and Permira for 800 billion won ($684 million). The consortium also plans to inject an additional 200 billion won by buying new shares issued by Yogiyo.

GS Retail has decided to take over the country's second-biggest food delivery app in a bid to create synergy by integrating its 16,000 offline shops and 60 distribution centers with Yogiyo's online delivery business.

GS Retail’s acquisition of Yogiyo can strengthen its competitiveness in the quick commerce market by utilizing its supermarket chain GS The Fresh, which has 330 stores across the country. By applying prices and promotions of products sold by GS The Fresh to its mobile platform and quick commerce delivery, GS Retail is expected to cut down on delivery times.

The country’s top food delivery app Baedal Minjok and Insung Data, an operator of South Korea’s food delivery service provider Saenggakdaero, also have already expanded their business based on their micro fulfillment centers, but their ability to source products and buying power lags far behind retail giants.

After the merger with GS HomeShopping in November 2020, GS Retail has focused on bolstering its distribution capability to create synergy between its online and offline businesses.

"The acquisition has given us an opportunity to make a quantum leap by connecting our offline platforms with online customers,” said GS Retail executive Park Sollip. "By doing so, we'll actively expand into other new businesses in addition to creating synergies using our capabilities." (Reporting by Hyo-jeom Jun)