Last week, SK Planet was reported to consider exits from its overseas businesses, including Malaysia

South Korean internet platform development company SK Planet has been reported last week to consider re-positioning its overseas business, which led to the company exiting Indonesian e-commerce site Elevenia, the result of a joint venture it has set up with telco company XL Axiata.

The report also stated that SK Planet also plans to sell its business in Malaysia, Thailand, and Turkey.

But in an email statement to e27, SK Planet CEO Sungwon Suh stated that the company will stay in the Malaysian market.

“Recently, SK Planet has made a strategic decision to pick and choose battlegrounds where we
can win and Malaysia is the battleground,” he said, adding that Malaysia is the “fastest growing and infrastructure-ready e-commerce market” in the Southeast Asian region.

Hoseok Kim, CEO of Celcom Planet, the company that operates the 11street brand in the country, stated that the company is currently looking at “various strategic options” including funding from strategic partners to prepare for “the next phase of accelerated growth.”

Also Read: Indonesia’s Elevenia scores US$50M from XL Axiata, SK Planet

“We are very pleased with the success and progress that 11street Malaysia has made in less than three years since its launch and we are confident that we will be the number one marketplace in Malaysia within the next three years,” he said.

The company declined to share further details about their fundraising plan.

11street Malaysia said that it has secured 40,000 listed sellers, 13 million registered products for sale, and 16 million monthly visits.

The platform is an online marketplace that offers categories such as fashion, electronics, groceries, health and beauty, kids and baby, leisure and sports, home and living, books and services, and deal offerings such as e-vouchers. It also offers merchandising ecosystem, education and training programmes to support sellers in the platform.

In Indonesia, following SK Planet’s exit from Elevenia, XL Axiata had also announced its exit from the e-commerce site.

Handing over its stakes to PT Jaya Kencana Mulia Lestari and Superb Premium Pte. Ltd. through conditional sale and purchase agreement (CSPA) mechanism, XL Axiata expects the decision to minimise the impact of losses that Elevenia had suffered.

PT Jaya Kencana Mulia Lestari and Superb Premium Pte. Ltd. are reported to have links to Indonesian retail giant Salim Group, which has been developing an online marketplace with South Korea’s Lotte Group.

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Image Credit: 11street

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