TPG Capital Agrees to Buy Lotte Rental for $925 Million

TPG Capital agreed to acquire a 61.2% stake in Lotte Rental Co., South Korea's largest car-rental operator, for 1.31 trillion won ($925 million). The deal values the company at 59,000 won per share, which is a 31.1% premium over the closing price from the previous Tuesday.

Lotte Group is selling the company to streamline its corporate portfolio and provide financial support to Hotel Lotte Co. and Busan Lotte Hotel Co. These measures come as the conglomerate faces difficulties in its construction and petrochemicals sectors.

This acquisition follows a January attempt by Affinity Equity Partners to purchase the company. The Korea Fair Trade Commission blocked that previous bid to prevent a monopoly, as Affinity had already acquired SK Rent-a-Car Co. in 2024. The current transaction with TPG Capital remains subject to regulatory approval.