▲ JTBC
General programming channel JTBC and its affiliates under JoongAng Group, currently facing a liquidity crisis, have filed for court receivership.
The Seoul Bankruptcy Court assigned the receivership applications for five companies—JoongAng Holdings, JTBC, Contentree JoongAng, Megabox JoongAng, and JoongAng P&I—to the court's Bankruptcy Division 2 today (June 15).
Bankruptcy Division 2 is presided over by Chief Judge Jung Joon-young.
While the court has assigned individual case numbers to each company, it has decided to have a single judicial panel conduct a consolidated review of the cases.
The court is expected to schedule a hearing for the representatives of the companies in the near future.
Under the Debtor Rehabilitation and Bankruptcy Act, the court is required to question the debtor or their representative once a rehabilitation application is filed.
Previously, on June 12, JTBC declared a default after failing to repay 20.6 billion won in securitized borrowings by their maturity date.
This is interpreted as a consequence of the shrinking TV advertising market, driven by the shift in the media landscape toward digital and OTT platforms.
Two days after the default declaration, on June 14, JoongAng Holdings, Contentree JoongAng, JoongAng P&I, and Megabox JoongAng filed for receivership, followed by JTBC, which submitted its application today.
JoongAng Holdings, Contentree JoongAng, and the other entities have also requested preservation orders to restrict asset disposal and comprehensive injunctions to prevent creditors from enforcing compulsory execution.
Domestic credit rating agencies collectively downgraded JTBC's credit rating immediately following the company's default declaration.
※ Please note: This article was translated by AI and may contain errors.