| Lotte Hi-Mart Co. Ltd. | |
| Type: | Public |
| Foundation: | 1993 |
| Location: | Seoul, South Korea |
| Key People: | Seon Jong Koo, Founder Lee Dong-woo, CEO[1] |
| Industry: | Retail |
| Products: | Shopping mall, Electronic commerce, Retail |
| Revenue: | $50.5 million USD (2005) |
| Num Employees: | 3,872 (2018) |
| Parent: | Lotte Shopping |
| Homepage: | http://www.e-himart.co.kr |
Lotte Hi-Mart is a South Korean retailer of electronic goods. It was originally a unit of bankrupt Daewoo Electronics that founder Seon Jong-koo spun off in 1999. Hi-Mart is headquartered in Seoul. Hi-mart was taken over by Lotte Corporation on July 6, 2012.[2]
Seon Jong-koo was formerly employed by Daewoo Electronics. When the company went bankrupt in 1999, he joined a spin-off company that became Hi-Mart.[3] [4]
In June 2008, South Korean chaebol Eugene Group acquired 32.4% of Hi-Mart. in June 2010, the company went public.[3]
In July 2012, Lotte Corporation acquired a 65.3% of Hi-Mart for $1.1 billion. Hi-Mart operated 290 stores in Korea, controlling 35% of the market. The acquisition was maneuvered in the midst of a scandal about its founder and CEO, Seon Jong-koo, accused of embezzlement totaling $228 million.[5] In April 2012, one witness jumped out his apartment's window after being questioned by Korea's justice about bribing Seon Jong-koo. In December 2014, Seon Jong-koo was replaced by Lee Dong-woo.[1] He was the second largest shareholder of the company and heavily supported by Hi-Mart's employees.[6]
In October 2012, the deal was approved by the Korea Fair Trade Commission and the company announced it is changing the stores' names to Lotte Hi-Mart.[7]