[THE INVESTOR] The CEO of online shopping site operator SK Planet has denied speculation that the company is considering the spin-off of its e-commerce platform, industry sources said on June 22.

In an email sent to all employees on June 21, Suh Sung-won refuted media reports that the firm is reviewing the possible hive-off of 11st. He added that there are no plans to create a company with retail giants Lotte or Shinsegae, according to inside sources.

“We are not at all reviewing the option of selling 11st as reported by some media outlets,” Suh said in the email. “We are also not considering any artificial restructuring.”

The speculations came as Korea’s online shopping site operators continued to report operating losses amid tough market competition.

11st is known to have suffered some 180 billion won (US$157 million) in operating losses last year, with No. 1 player eBay Korea, operator of G-Market and Auction, known to be the only online shop operator that logged profits. 

By Alex Lee and newswires (alexlee@heraldcorp.com)