A $4.9B Deal Under Fire: MBK Partners Chairman Kim Byung-ju Faces Arrest Warrant Hearing
MBK Partners Chairman Kim Byung-ju faces an arrest warrant hearing over the Homeplus fraud case. Discover how a $4.9B deal led to a legal crisis for Asia's largest PEF.
The king of Asian private equity is facing a legal abyss. A Seoul court announced Thursday it'll hold a hearing next week to decide whether to issue arrest warrants for Michael Kim (Kim Byung-ju), chairman of MBK Partners, and three other senior executives over the alleged fraudulent management of Homeplus Co.
MBK Partners Chairman Kim Byung-ju Arrest Warrant Context
According to Yonhap News, prosecutors are seeking the arrests on charges of fraud and violations of the Capital Markets Act. The core of the case involves the sale of large-scale short-term bonds right before Homeplus saw its credit rating slashed and subsequently entered court-led rehabilitation in March 2025.
Impact on the M&A Market
MBK's acquisition of Homeplus was once hailed as a landmark deal. However, the retailer struggled amid a slump in the discount store industry. Prosecutors allege that the bond sale was a deceptive move to secure liquidity while knowing the company's financial health was failing.
This content is AI-generated based on source articles. While we strive for accuracy, errors may occur. We recommend verifying with the original source.
Related Articles
Advent International re-enters the Japanese market after 15 years. With M&A deals hitting a record ¥33 trillion in 2025, discover why PE giants are flocking back to Tokyo.
KKR is reportedly acquiring sports investor Arctos at a $1 billion valuation. This major M&A deal signals deeper private equity involvement in NBA, MLB, and NHL.
TPG is in talks to acquire Optum UK from UnitedHealth Group. Discover how this potential TPG Optum UK acquisition could reshape the healthcare data analytics market in Britain.
Private equity firms are expected to unleash a wave of middle market M&A deals in 2026. Discover why experts believe this sector will lead the financial recovery.
Advent International re-enters the Japanese market after 15 years. With M&A deals hitting a record ¥33 trillion in 2025, discover why PE giants are flocking back to Tokyo.
KKR is reportedly acquiring sports investor Arctos at a $1 billion valuation. This major M&A deal signals deeper private equity involvement in NBA, MLB, and NHL.
TPG is in talks to acquire Optum UK from UnitedHealth Group. Discover how this potential TPG Optum UK acquisition could reshape the healthcare data analytics market in Britain.
Private equity firms are expected to unleash a wave of middle market M&A deals in 2026. Discover why experts believe this sector will lead the financial recovery.