11Street Shopping Mall to get US$449 million investment

South Korean mobile carrier SK Telecom has announced a US$449 million investment into a subsidiary’s e-commerce platform, 11Street Shopping Mall.

In a decision yet to be approved by shareholders, SK will use the investment, sourced from the H&Q Korea private equity fund, to establish a new business entity. An SK spokesperson said that further reshuffling among its subsidiary firms will be aimed at seeking a new growth engine with a view to expanding its presence in the country’s online retail market.

The move directly follows a joint venture set up earlier this month between an SK subsidiary and the country’s largest convenience store chain, CU.

The improvements to 11Street’s operations will draw on artificial intelligence technologies, among other information and communications developments, to build new services – including improvements to its mobile payment system.

A representative from SK Telecom said that the company’s new business structure is ready to promptly and flexibly respond to the fourth industrial revolution.