TPG buys 61.2% of Lotte Rental for 1.31 trillion won as Lotte restructures
What's the deal? LotteDealroom has a profile for this one. Try Dealroom → has agreed to sell its entire 61.2% management stake in Lotte RentalDealroom has a profile for this one. Try Dealroom → to US private equity firm TPG for 1.31 trillion won. The shares, held by Hotel LotteDealroom has a profile for this one. Try Dealroom → (38.1%) and Busan Lotte HotelDealroom has a profile for this one. Try Dealroom → (23.0%), are priced at 59,000 won each.
Why now? Lotte began seeking a buyer after its contract with Affinity Equity PartnersDealroom has a profile for this one. Try Dealroom → ended in May 2026. It picked TPG following a review of proposed corporate value, acquisition structure, employment guarantees, deal-completion likelihood and funding capabilities.
What's the endgame? TPG plans to build Lotte Rental's competitiveness on its investment experience in global mobility companies such as Uber. Lotte will use the proceeds to improve the financial health of Hotel Lotte and Busan Lotte Hotel and invest in its core hotel business.
The bigger picture: The sale is part of a wider portfolio overhaul. Lotte has already sold subsidiary Lotte Energy MaterialsDealroom has a profile for this one. Try Dealroom →' Lotte Eco-WallDealroom has a profile for this one. Try Dealroom → in May 2026, while Lotte ChemicalDealroom has a profile for this one. Try Dealroom → returned to profit through production optimisation.
"We selected the acquirer after considering market conditions and our mid- to long-term growth strategy," a Lotte official said. "We will focus more on strengthening the core business's fundamental competitiveness and enhancing our business portfolio."
What could go wrong? The transaction still needs approval from the Fair Trade Commission for the business combination before it can close.
The signal: The deal marks another step in Lotte's push to shed non-core assets and concentrate capital on hotels — a bet on inbound tourism over its rental business.
Read more: Aju Press
Image credit: rmkoske
