💸 Read this article to find out!
- KT is selling its freight transportation subsidiary, Lolab, which operates the 'Brokarry' platform. The buyer is the logistics company 'Teamfresh,' which established Lolab in joint venture with KT. Last year, KT seemed serious about this market, buying up a large number of trucking licenses. What happened to KT after the appointment of the new CEO Kim Young-seop last year? We have summarized the opinions of stakeholders in the freight transportation market that were competing with KT Lolab.
- The best way to confirm the rumors circulating in the market is to ask the parties involved in the acquisition directly. Connectors contacted Lee Seong-il, the CEO of Teamfresh, who acquired Lolab. We were able to hear the full story behind the acquisition decision. Along with this, we found out what specific synergies Teamfresh and KT can gain through the Lolab M&A.
- Stakeholders in the freight transportation platform expressed regret over KT's decision. The freight transportation platform market has been the graveyard of numerous major corporations in the past. With KT stepping back, there are concerns that the industry might relive its past troubles. Some say that KT's sale of Lolab was a pre-planned step. Connectors looked into this evidence.
- Anyway, Lolab is not disappearing; the operator is simply changing. Brokarry will continue to function as a platform. KT remains on the list of major shareholders of Teamfresh, so it will still be able to exert indirect influence. Nevertheless, the industry predicts that the difficulties facing freight transportation platforms will continue. What are these challenges that even substantial capital and advanced technology cannot overcome?
CHAPTER 1
KT Steps Back from Telecom Transport Platform Competition
KT is selling its logistics subsidiary, Lolab, known for operating 'Brokarry', a platform that was among the freight transportation platforms of the three major telecommunications companies alongside T map Mobility’s T map Cargo and LG Uplus's Freight Connect. Up until last year, Lolab was actively enhancing its freight transport business by purchasing a significant number of commercial license plates, but suddenly decided to sell the business, drawing industry attention. Interestingly, the acquiring entity this time is Teamfresh, a logistics company that was established as a joint venture with KT, with Teamfresh investing 20% equity in Lolab.
