Korea¡¯s healthy food brand Chunho N Care is up for grab 7 years after sale

[Source: Chunho N Care]

South Korea¡¯s health food firm Chunho N Care is up for sale again, seven years after it was sold to Kamur Private Equity (PE).

The Korean private equity firm selected EY Hanyoung as the lead sale manager for its 58.1-percent stake in Chunho N Care. The preliminary tender is expected to kick off in July.

Kamur PE first invested in the mid-size health food firm in 2015, and then took over a controlling stake, as well as stakes held by CEO Kim Young-sik and other related parties when the company came under fire due to a scandal that revealed it used fake red ginseng in its product.

After Chunho N Care was placed under the PEF, it succeeded in turning around with improved financial health. Its operating profit grew to 1.7 billion won ($1.3 million) on sales of 45 billion won in 2020 from 100 million won in operating profit on 42 billion won sales in 2019. Its operating profit growth slowed in 2021 to 1.4 billion won on sales of 42 billion won amid intensifying competition from new rivals joining the market to benefit the surging demand for health food and supplements since the pandemic.

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