[Edaily Reporter KIM EUNG-TAE ] Global beauty company APR(278470)is set to merge with its subsidiary “APR Factory,” which manufactures its products. The move is intended to improve management efficiency and strengthen business competitiveness.

According to the Financial Supervisory Service on the 9th, APR has decided to merge with APR Factory, a wholly-owned subsidiary in which it holds a 100% stake.
This merger will be conducted without a capital increase, meaning no new shares of APR Factory will be issued. The merger ratio between the surviving company, APR, and the dissolving company, APR Factory, is 1 to 0. Accordingly, there will be no changes to APR’s ownership structure following the merger. The merger agreement date is September 16, and the effective date of the merger is December 31.
The primary objective of this absorption merger is to enhance operational efficiency. The strategy is to improve the efficient allocation of management resources—including human and physical resources—by absorbing the product manufacturing subsidiary and to reduce costs by streamlining redundant management infrastructure. Additionally, the company plans to simplify its decision-making structure to establish a system capable of responding flexibly and swiftly to the rapidly changing global beauty market.
APR Factory operates a total of three production facilities: one in Gasan, Seoul, and two in Pyeongtaek, Gyeonggi Province. It plays a pivotal role in the internalization of APR’s value chain, which spans research and development (R&D), product planning, production, and logistics. Last July, executives from Amazon’s logistics and supply chain divisions visited APR Factory’s second campus in Pyeongtaek to strengthen their partnership.
APR Factory’s importance is expected to grow even further. As APR accelerates the diversification of its business portfolio, the optimization and advancement of its production infrastructure are seen as key factors that will determine the success of new businesses related to aesthetic medical devices, such as “Energy-Based Devices” (EBD) and skin boosters.
An APR official stated, “This merger is a strategic decision aimed at maximizing organizational and operational efficiency to enhance the core competitiveness of our business,” adding, “Based on this, we will achieve scale growth and strengthen profitability to increase shareholder value.”