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SEOUL, May 7 (UPI) — South Korean online retailer Kurly has attracted fresh investment, while its bigger rival, Coupang Korea, struggles to grapple with the aftermath of a massive data breach disclosed late last year.

Kurly said in a regulatory filing Wednesday that it would issue some 500,000 new shares worth $23 million, all of which will be acquired by the country’s internet giant, Naver.

Through the deal, which valued Kurly at around $1.9 billion, Naver will increase its stake in the e-commerce platform to 6.2% from 5.1%.

The Seoul-based company, which was founded in 2015, said that it would spend the funds to strengthen its long-term growth potential by expanding logistics infrastructure and pursuing new business initiatives.

“Starting with this investment, both companies plan to deepen their strategic partnership, focusing on generating tangible synergies and driving accelerated growth,” Kurly CEO Sophie Kim said in a statement.

By contrast, U.S.-listed Coupang Inc. has swung to a loss for the first time in seven quarters.

During the first three months of 2026, the e-commerce giant posted sales of $8.5 billion, up 8% from a year ago, but recorded an operating loss of $242 million compared with an operating income of $154 million a year ago.

Coupang Korea, which generates the vast majority of Coupang Inc.’s revenue, has faced criticism after unveiling a data leak last November involving tens of millions of its customers in South Korea.

To compensate customers following the accident, Coupang provided free vouchers worth more than $1 billion in early 2026, which has negatively affected the company’s earnings.

Coupang was trading at $17.25 a share at midday Thursday on the New York Stock Exchange, down about 50% from its 12-month high. The company lost 15 cents a share in the first quarter of 2026.

Kurly is not publicly listed.

May 1 (Asia Today) — Japanese Prime Minister Sanae Takaichi said Japan is expected to secure stable supplies of naphtha-based chemical products beyond the end of the year, easing immediate fears of a petrochemical supply shock.

Takaichi told a ministerial meeting on the Middle East situation Wednesday that Japan has expanded naphtha procurement from non-Middle Eastern sources, including the United States, Algeria and Peru. The government is also using crude oil reserves for domestic refining and drawing on downstream inventories.

Naphtha is a key feedstock for basic petrochemical products such as ethylene and propylene. It is used in plastics, synthetic resins, packaging, auto parts, electronics materials and household goods.

Japan’s response amounts to more than emergency imports. Government data show Japan sourced about 40% of its naphtha from the Middle East in 2024, produced about 40% domestically and imported about 20% from other regions.

Takaichi said supply concentration and distribution bottlenecks remain a concern. Some companies have placed larger-than-usual orders to guard against shortages, creating pressure at certain stages of the supply chain.

The supply strain has already affected Japan’s manufacturing indicators. Industrial output in March fell 0.5% from the previous month, with lower production of petroleum and chemical products contributing to the decline.

Japan has operated a task force since early April to monitor supplies of key materials, including naphtha, petrochemical products, fuel oil and goods tied to healthcare, logistics and agriculture.

The issue also carries implications for South Korea, whose petrochemical industry depends heavily on naphtha and is closely linked to refining, autos, electronics and packaging.

Japan’s move to diversify procurement, manage inventories and control supply information offers a possible model for South Korean policymakers and companies as Middle East tensions continue to pressure energy and industrial supply chains.

— Reported by Asia Today; translated by UPI

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Original Korean report: https://www.asiatoday.co.kr/kn/view.php?key=20260501010000005