'K-Seaweed Boom and Record-High Performance' Manjun Foods Gets Green Light for Sale

Riding the boom of the K-seaweed industry, which is experiencing explosive growth and is called the 'black semiconductor' in the global market, Manjun Foods has achieved its highest performance on record. Private equity fund Kamur Private Equity (Kamur PE) has dispelled even the concerns about cash generation capability based on a successful value-up, and has fully set sail on its exit strategy, encompassing both an initial public offering (IPO) and a sale of management rights.

[Source: Manjun Seaweed Official Mall]

From a Side Dish to a Global 'Healthy Snack'… K-Seaweed Industry Opens the 1 Trillion Won Era

The biggest background behind the recent surge in the value of Manjun Foods lies in the global 'K-Gim (seaweed)' craze. Seaweed, which was previously confined to a side dish for rice in the domestic market and the Asian region, is recently being recognized as a low-calorie 'healthy snack' that replaces potato chips or nachos in Western countries such as the United States and Canada, and its demand is increasing explosively.

In fact, South Korea's seaweed export volume, which was around $500 million in 2017, has steadily grown to open the era of 1 trillion won in exports for the first time in history last year, and in the first half of this year alone, it recorded a 35% increase compared to the same period last year, breaking the record for the highest performance of a single item in the history of seafood exports. As the market, which was limited to domestic demand, expands worldwide, the growth potential of seaweed manufacturers is being highly evaluated in the capital market.

Kamur PE Leads Overwhelming Performance Improvement through 'Vertical Integration and Overseas Pioneering'

Kamur PE preemptively recognized the growth potential of the global seaweed market and the excellent cash flow generation capability of Manjun Foods, and acquired the company by investing approximately 100 billion won in 2021. After the acquisition, Kamur PE set out on a bold fundamental improvement and expansion of sales channels.

The most prominent value-up strategy is cost reduction through 'vertical integration'. At the time of acquiring Manjun Foods, Kamur PE also acquired the founder's fishery corporation 'Ara', which manufactured and supplied dried seaweed, and then absorbed and merged it into Manjun Foods in 2022. In addition, it executed preemptive investments in the country's largest dried and seasoned seaweed production facilities located in Mokpo, South Jeolla Province. Such integration and facility investment led to a synergy that drastically lowered manufacturing costs.

Furthermore, in line with overseas consumption trends, it strengthened its seaweed snack lineup, such as 'LAVERLAND CRUNCH', and actively pioneered overseas sales channels, thereby growing overseas sales by an annual average of more than 20% since the acquisition.

The result manifested as overwhelming performance indicators. According to the recently disclosed audit report, Manjun Foods' sales in 2025 reached 89.05147 billion won, and its operating profit was 14.88809 billion won, renewing its all-time high. In particular, while sales increased by about 6.5 billion won compared to the previous year (82.49177 billion won), the cost of sales only increased by about 800 million won (from 62.48056 billion won to 63.29089 billion won), completely proving the profitability improvement resulting from vertical integration.

Concerns Over Slowing Cash Flow Completely 'Resolved' by Generating 10.8 Billion Won in 2025

Some raised points regarding the 2024 performance, stating, "Unlike the profit on the books, the actual cash on hand is insufficient." There were concerns that despite external growth, the cash flow from operating activities in 2024 was only in the 1.36 billion won range, which was actually a retreat compared to the time of the acquisition in 2021 (1.44 billion won). This was because funds were temporarily tied up as inventory assets were preemptively stockpiled to respond to surging overseas demand.

However, through the 2025 audit report, the actual cash generation capability risk has been completely resolved. In 2025, Manjun Foods' cash flow from operating activities recorded 10.88271 billion won, jumping significantly compared to the 1.3 billion won range of the previous year. As the stockpiled inventory assets were smoothly consumed for snacks and export products, the company perfectly recovered a virtuous cycle structure where profits directly translate into cash.

'Buy for 100 Billion Won and Sell for 200 Billion Won'… Benchmarking Peer Group 'SungGyoung Food'

Having maximized the corporate value, Kamur PE selected EY Hanyoung as the lead manager and fully commenced the sale process. The market observes that the estimated sale price of Manjun Foods is around 200 billion won.

The selling side is keeping a close eye on the sale precedent of SungGyoung Food, a competitor in the same industry. SungGyoung Food was recently acquired by the Samchully Group for approximately 151 billion won by applying a multiple of 11 times its earnings before interest, taxes, depreciation, and amortization (EBITDA).

As Manjun Foods' estimated EBITDA for 2025 is estimated to be around 17 billion to 17.7 billion won, calculations show that even by applying the same 11x multiple as SungGyoung Food, a valuation at the 200 billion won level can be justified.

In addition to a management rights sale (M&A), the possibility is also open for shifting to an initial public offering (IPO) utilizing the explosive boom of the K-seaweed industry as a stepping stone. In a market situation where strategic investors' (SIs) demand for vertical integration is strong, the industry's attention is focused on how Manjun Foods, which has washed away cash flow concerns and proven a solid margin rate, will be evaluated in the M&A market.