South Korea's top enterprise software company sold to Swedish PEF

Kim Yong-woo, Chairman of Douzone Bizon — Kim Yong-woo, founder and chairman of Douzone Bizon

SEOUL, November 07 (AJP) - Douzone Bizon, South Korea’s leading enterprise software provider, has been acquired by Swedish private equity firm EQT Partners for 1.3 trillion won, or about $940 million.

The company said Friday that founder Kim Yong-woo, who held a 22.3 percent stake, and Shinhan Financial Group, with 34.8 percent, sold their shares to EQT’s special-purpose vehicle, Doronicum. The Swedish firm will control 37.6 percent of voting rights, becoming the new majority shareholder.

Founded in 1991, Douzone Bizon has long dominated South Korea’s market for accounting and enterprise resource planning (ERP) software for small and medium-size businesses. Over the past decade, it expanded into public-sector digital services and launched its cloud-based platform, WEHAGO, in 2011.

Despite its market leadership, Douzone has faced criticism for high service costs, user complaints, and governance concerns tied to Kim’s family management.

EQT said the acquisition reflects its commitment to expanding in Asia and to supporting Douzone Bizon’s transformation into a broader digital business ecosystem.

Industry insiders said EQT could eventually make a tender offer for remaining shares, a move that might lead to Douzone Bizon’s delisting from the Korean stock market.

Douzone Bizon Euljiro Office — Douzone Bizon's office in Seoul/ Courtesy of Douzone Bizon

* This article, published by Economic Daily, was translated by AI and edited by AJP.

Seon Jae-kwan seon@economidaily.com