SSG.com, an e-commerce company affiliated with South Korean retail giant Shinsegae Group, has been named as preferred bidder for W Concept Korea Co., the country’s largest multi-shop e-commerce platform for female fashion.

According to investment banking sources on Thursday, IMM Private Equity and its sale advisor Citigroup Global Markets Korea Securities picked Shinsegae Group’s SSG.com over online fashion platform Musinsa and other major retail bidders such as Lotte Shopping, CJ ENM and SK Telecom for a full stake in W Concept Korea.

Sources said Shinsegae Group and IMM Private Equity would sign a stock purchase agreement on Thursday for the deal valued in the mid-to-high 200 billion won ($176.5 million) range, which includes an 80 percent stake from IMM Private Equity and 20 percent from ISE Commerce.

Shinsegae Group expects synergy from the combination of SSG.com and W Concept Korea, where customer spending reaches 130,000 won on average, nearly 1.4 times larger than that of other online fashion sites.

With a 32 percent share in the local online fashion market, W Concept Korea’s transaction volume is estimated to have reached 300 billion won last year, up from 200 billion won a year earlier.

IMM Private Equity acquired an 80 percent stake in W Concept Korea in 2017, whose corporate value was calculated at 100 billion won that time.

By Kang Doo-soon, Kang Woo-seok and Lee Ha-yeon

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