[비즈한국] The Korea Development Bank (KDB) is expected to face difficulties in recovering its investment in IMS Mobility (formerly Be My Car). KDB holds a stake in IMS Mobility through past direct and indirect investments. IMS Mobility is currently under suspicion of having received investments from large corporations in exchange for favors, as Kim Ye-seong—known as the "butler" to First Lady Kim Keon-hee—was involved in its founding and served as an executive. While the company is pursuing an initial public offering (IPO), the current chaotic situation makes an immediate IPO seem unlikely. If IMS Mobility fails to go public, KDB’s recovery of its investment funds will have no clear timeline.
KDB is the Largest Contributor to Neoplux
In 2018, Neoplux formed a private equity fund named "Neoplux Private Equity Fund No. 3" and invested 25 billion KRW in IMS Mobility in March 2020. Of that amount, 15 billion KRW was used to purchase new shares of IMS Mobility, while 10 billion KRW was used to acquire existing shares from previous shareholders. During the acquisition of existing shares, Neoplux Private Equity Fund No. 3 also purchased Kim Ye-seong’s stake in IMS Mobility.
On July 21, Bizhankook reported exclusively that KDB was the largest contributor to Neoplux Private Equity Fund No. 3. KDB's investment in this fund was 10 billion KRW, accounting for approximately 40% of the total capital. By investing in IMS Mobility through this fund, KDB effectively made an indirect investment in the company (Related article: [Exclusive] KDB was the largest investor in the private equity fund that invested in the 'Kim Keon-hee butler' rental car company).
Neoplux was acquired by Shinhan Financial Group in September 2020 and renamed Shinhan Venture Investment. The Neoplux Private Equity Fund No. 3 also fell under the control of Shinhan Financial Group. It is reported that Shinhan Venture Investment also contributed 10% to the fund.
Following reports by KBS and other media outlets regarding KDB's investment in the Neoplux fund, the situation sparked controversy. In response, KDB issued a clarification statement, stating, "The entity responsible for the investment in IMS Mobility is not KDB, but the Neoplux Private Equity Fund No. 3, and investment decisions were made by the fund's manager," adding, "As an investor in the fund, KDB cannot interfere with the manager's selection of target companies or investment methods under the Capital Markets Act."
However, prior to its fund investment, KDB had already made a direct investment in IMS Mobility in 2017, securing a 7.41% stake. This suggests that KDB had an interest in IMS Mobility well before the fund investment.
Is an Exit Possible?
The investigation into IMS Mobility by the Kim Keon-hee Special Prosecutor's team (led by Special Prosecutor Min Joong-ki) has made it difficult for KDB to recover its investment. The special prosecutor suspects that IMS Mobility received investments from large conglomerates as quid pro quo.
KDB currently holds 139,100 shares of Redeemable Convertible Preference Shares (RCPS) in IMS Mobility. RCPS are special stocks that carry both redemption and conversion rights, allowing the holder to demand redemption from the issuing company or convert them into common stock under certain conditions. KDB’s RCPS stake is separate from the 10 billion KRW invested in the Neoplux fund.
IMS Mobility is preparing for an IPO with a target of 2026. Investors reportedly planned to recover their funds following the completion of the IPO. However, given the current special investigation, it appears difficult for IMS Mobility to proceed with a smooth IPO. Further damage to the company’s brand image could also negatively impact its future performance (Related article: 'Kim Keon-hee butler' allegations arise just after IPO plan announcement... IMS Mobility's 2026 IPO in the fog).
Even if IMS Mobility fails to go public, it could still theoretically trade shares via over-the-counter (OTC) markets. However, finding buyers for a stake under the current circumstances is unlikely. The company’s performance is also poor; IMS Mobility recorded an operating loss of 3.1 billion KRW last year. While it claimed to have turned a profit in the first quarter of this year, a strong performance in the second half cannot be guaranteed given the chaotic situation.
Although KDB conducts its own profit-making activities, its capital is largely funded by the government—meaning public tax money is involved. If KDB fails to recover its investment in IMS Mobility, it will face severe criticism for wasting taxpayers' money.
Bizhankook contacted KDB to request a comment on the matter, but a KDB official replied, "I will get back to you after checking with the person in charge," and did not provide a follow-up response.