SEOUL, Aug. 11 (UPI) -- South Korea's leading private equity company MBK Partners said the troubles of its subsidiary Home Plus, the country's No. 2 discount chain, were not its fault.
"The management crisis at Home Plus is due to structural changes in the industry," MBK said in a statement last week, refuting allegations that the excessive loans and asset sales under its ownership resulted in the retailer's decline.
Citing a report from Samil PricewaterhouseCoopers, MBK pointed to rising minimum wages, higher rent and the growth of e-commerce companies as key headwinds. In other words, it framed the difficulties of Home Plus as part of a broader industry trend.
In response, politicians and Home Plus union leaders flatly dismissed the claims.
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