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Photo = Yonhap news |
[Alpha Biz= Reporter Kim Jisun] Megastudy Education has officially announced its complete withdrawal from the civil service exam preparation market. On December 13, the company finalized the main contract for the sale and transfer of its "Mega Civil Service" division after obtaining board approval.
This decision comes as the company faced mounting financial losses, with the civil service division accumulating over 60 billion KRW (approx. $45 million) in operating deficits over the past four years.
Other factors contributing to this decision include the Fair Trade Commission's rejection of a merger with ST Unitas, which hindered business recovery efforts, as well as declining recruitment numbers for public servants and a drop in the division's popularity. A company representative explained, "We made the decision to transfer the civil service business to improve profitability and enhance operational efficiency."
Under the agreement, Megastudy Education will transfer the entire civil service business unit to NextStudy. The transaction is valued at 11.4 billion KRW (approx. $8.5 million), with the transfer scheduled to be completed by December 31.
Alphabiz Reporter Kim Jisun(stockmk2020@alphabiz.co.kr)
