KG Group Consolidates Acquisition Of Used Car Platform 'K-Car'

*This content was translated by AI.

KG Group will acquire "K Car," the nation's largest used car platform company, to build an integrated mobility ecosystem that encompasses automobile manufacturing, distribution, and IT platforms.

KG Group signed an agreement to acquire K Car on March 31, which will be a joint investment with Cactus Private Equity (PE). Cactus PE is a private equity fund established by CEO Jeong Han-seol in 2018 and is considered a key ally of KG Group. KG's second-generation president, Kwak Jung-hyun, has a deep relationship with him as a registered director in the past and has built management classes, and is a company specializing in restructuring and management rights acquisition that has jointly established major M&As such as Dongbu Steel and K-Car acquisition.

The acquisition is seen as a key pillar in completing KG Group's mobility strategy. Through this, KG Group has secured an integrated mobility business structure that organically connects KG Mobility's automobile manufacturing, K Car's automobile distribution, and KG ICT's IT platform. It plans to strengthen market responsiveness and business competitiveness by establishing a system that directly encompasses the entire automobile industry (Value Chain) from vehicle production to distribution, finance and services.K Car is Korea's No. 1 direct used car platform company based on 48 direct stores nationwide.

It has a market share and profit structure that encompasses the purchase and sale of vehicles, rental cars, and automobile finance, as well as the online sales system "In-Car Fraud Home Service," and recorded about 2.5 trillion won in sales as of 2025.KG Group plans to implement customer-centered integrated mobility services by combining KG Mobility's vehicle production capacity and global network with K Car's online and offline distribution platform.

It also plans to explore the possibility of overseas expansion of used car distribution and mobility services and create new business opportunities by utilizing KG Mobility's overseas network and KG Steel's global business base.KG Steel, which participated as an investor, is expected to supplement the economic volatility of the steel industry, diversify its business portfolio, and strengthen its mid- to long-term growth base by linking with mobility businesses within the group based on K Car's stable cash generation power. KG Group defined the acquisition as a strategic turning point to cope with the automobile industry environment, which is being reorganized from manufacturing to distribution, service and IT platforms.

<© STARNEWS. All rights reserved. No reproduction or redistribution allowed.>

*This content was translated by AI.