Homeplus temporarily closes stores nationwide amid severe funding crisis

Homeplus, a prominent South Korean retail chain, has temporarily suspended operations at multiple locations across the country, citing a critical lack of funds. The company announced the closures began Monday, stating it could no longer afford to maintain its facilities or cover essential operating expenses.

In a statement, Homeplus explained that "most of our operating funds have been completely exhausted, leaving us unable to make payments to suppliers or cover operating expenses needed to keep our stores open." The retailer assured that efforts would be made to prevent any accidents or safety hazards at the shuttered locations. However, some stores located within the same buildings as Homeplus supermarkets will continue to operate at the request of their respective building operators.

Homeplus vehemently dismissed speculation that it was heading for bankruptcy. The company indicated that a decision on whether to resume operations would be made after closely monitoring developments through July 20. This date is the deadline for Homeplus to file an appeal against a court's decision to terminate its rehabilitation proceedings. The company is awaiting the court's final ruling.

The image accompanying the report shows nearly empty shelves at a Homeplus store in Seoul on July 12, 2026, illustrating the dire situation. The temporary closures raise concerns about the future of the retail giant, which has been a significant player in the South Korean market.

“

Most of our operating funds have been completely exhausted, leaving us unable to make payments to suppliers or cover operating expenses needed to keep our stores open.