JYP Entertainment announced on the 8th that it has decided to acquire land and buildings worth 96 billion won to construct a new headquarters.

◇ Site in Seongnae-dong, Gangdong-gu Purchased for 96 Billion Won... 11.28% of Total Assets

The acquisition targets land and buildings located at 448-11 and 448-26 Seongnae-dong, Gangdong-gu, Seoul. The acquisition price totals 96 billion won, accounting for 11.28% of the company's total assets of 851.09 billion won. The counterparties are Hyundai English Company and three individuals.

The company stated that the purpose of the acquisition is to build a new headquarters. It cited the securing of physical space for mid- to long-term business expansion, as well as improved work efficiency and productivity through the expansion of the headquarters, as the effects of the acquisition.

◇ Payment to Be Split Across Two Contracts

The contract signing date is October 8, 2026. According to the disclosure, the acquisition reference date and scheduled registration date are February 26, 2027, based on the scheduled final payment date for the land and building located at 448-11 Seongnae-dong.

The transaction amount will be paid in two separate contracts. The first contract consists of a down payment of 10 billion won, an installment payment of 15 billion won, and a final payment of 25 billion won, while the second contract comprises a down payment of 4.6 billion won and a final payment of 41.4 billion won. Upon final payment, the plan is to settle the amounts after deducting the rental deposits corresponding to each contract.

◇ Ahn & Company Accounting Firm Gives 'Fair' Opinion on Acquisition Price

The acquisition amount is the sum of the purchase prices stated in the two sale contracts, and does not include other acquisition-related expenses such as taxes and public charges and fees.

Ahn & Company, the external valuation firm, conducted its evaluation from October 2 to 7 and issued a 'fair' opinion on the acquisition price.

Meanwhile, the company stated that the scheduled acquisition date and matters related to the payment of the transaction amount may change depending on negotiations with the counterparties.