KKR-backed South Korea fashion retailer Musinsa ramps up Asia store push ahead of IPO
The company will accelerate its footprint abroad, targeting 100 stores in China by 2030 to challenge Uniqlo
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[SEOUL] Musinsa, the KKR-backed South Korean fashion retailer, is rolling out an aggressive physical store expansion in China and Japan as it seeks to challenge Uniqlo and build momentum ahead of a closely watched initial public offering.
The company, which opened its first overseas outlet in Shanghai in December, will accelerate its footprint abroad, targeting 100 stores in China by 2030 and flagship locations in Japan, co-chief executive officer Nam Cho said in an interview with Bloomberg. A Shibuya store is slated for mid-2027, followed by Osaka and Nagoya.
To support physical rollout, Musinsa is partnering with Japan’s e-commerce giant Zozo Town and has formed a joint venture with China’s Anta Sports Products, moves that strengthen its digital infrastructure and boost online sales through platforms like Tmall and TikTok shop.
The push comes as Korean consumer culture continues to surge globally, stretching well beyond K-pop and K-beauty into fashion and lifestyle. Retailers like CJ Olive Young and APR’s viral Medicube skincare line are also tapping this momentum to accelerate overseas store openings.
Musinsa, which operates an online fashion platform alongside its own apparel brand, is banking on its in-house label Musinsa Standard – which it sees as its answer to Uniqlo – to scale beyond Korea. Its revenue mix reflects the dual nature of its business.
International transaction volumes have tripled since the 2022 launch of its global mall, with first-quarter exports running at roughly 12 times last year’s levels, led by Japan and China, Cho said. In the same period, Musinsa Standard accounted for about 32 per cent of sales, while platform transaction fees from third-party brands made up roughly 40 per cent, with the rest mostly coming from exclusive distribution of certain brands.
Founded in 2001 as an online sneaker community, Musinsa has since grown into one of South Korea’s largest online fashion marketplaces, selling a multitude of brands alongside its own private-label line.
It’s now part of what analysts call “Oldamoo”, a trio of next-generation retail destinations alongside Olive Young and Daiso that have become must-visit stops for foreign tourists. Travellers from more than 100 countries have visited Musinsa’s domestic stores, often registering as members and continuing to buy online after returning home, Cho said.
Musinsa currently serves 13 international markets through its global platform and plans to add storefronts in Malaysia, Vietnam and the Philippines this year, with the Middle East to follow through local partnerships, he said.
The multi-market push is designed to prove global scalability ahead of a US store debut and a planned IPO that may look beyond the local Seoul exchange. With a valuation of up to 10 trillion won (about US$6.4 billion), Musinsa’s listing would be one of the largest IPOs in recent years. Cho said the company is gauging domestic and international exchanges, including Nasdaq.
“Korea is obviously a very attractive market right now,” Cho said. “But as a company that wants to go global, we want to make sure that we’re being evaluated at a fair price, and we believe the US market is one of the best markets to accomplish that.”
New interest
The US had previously been the top performer for Musinsa’s global app before tariff pressures weighed on demand. Tariffs are a major hurdle in a market already crowded with fast-moving, competitively priced Chinese e-commerce rivals and a still expanding Uniqlo. It remains to be seen if Musinsa can muster the brand recognition and differentiation outside of Korea it will need to meet its global ambitions.
The company is optimising supply chains and diversifying product lines to better serve American customers, he said.
Musinsa generated more than five trillion won in revenue last year and aims for three trillion won in overseas sales by 2030, with a third coming from China. Cho said the target could be reached early, noting that a recent global sales event produced 3.2 billion won in a single day.
While Musinsa has traditionally generated up to 80 per cent of revenue online, Cho expects a 50-50 split between online and offline channels within a few years.
The company is also scaling its brand-incubation programme, providing financing and support to emerging labels. It’s so far deployed nearly 500 billion won and helped several partners grow into profitable standalone operations.
“We have a strong ambition to become a true brand house that fosters a vast, multifaceted ecosystem of labels by incubating a diverse array of independant designers,” Cho said. BLOOMBERG
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