Delio Seeks Sale, Past Similar Cases, and Challenges Ahead

Delio’s CEO, Jung Sang-ho, has announced plans to sell his 70 percent stake to raise funds and aid in the recovery of the damages experienced by the victims of the recent Delio crisis. There are two selling points for Delio, as explained by CEO Jung Sang-ho. The first one is the company’s past valuation performance. When Delio last received investment, its value was 100 billion won. CEO Jung Sang-ho claims that since he owns 70% of Delio’s stake, he will be able to secure a significant amount of funds even if he offers discounts to account for the value decline due to recent events. He further mentioned that several foreign investors had expressed interest in acquiring Delio at a discounted price.

The second selling point of Delio is its Virtual Asset Service Provider (VASP) license. Obtaining a VASP license requires a considerable amount of capital and time, and the process is highly complex. Therefore, considering the VASP license, Delio’s sale value is deemed sufficient. Looking at past cases, OKbit was sold even after it was virtually suspended because it possessed a VASP license.

However, challenges are anticipated. Delio differs from past cases in one aspect. While OKbit, which was sold despite operational difficulties, was a virtual asset exchange, Delio primarily offers virtual asset deposit services. Hence, it remains uncertain how the differences in the business sectors will impact Delio. Additionally, the outcome of the review of corporate rehabilitation procedures is expected to influence the sale.