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Greenoaks Takes Legal Action to Stop Korea's Discrimination Against Coupang and Other U.S. Companies

businesswire.com
CPNG The article details legal actions taken against the ROK Government due to alleged discriminatory acts and unfair trade practices targeting Coupang, a US-founded company. This suggests significant negative pressure on the company's operations and market position within Korea.

SAN FRANCISCO--( BUSINESS WIRE)--Greenoaks, along with Altimeter (the “U.S. Investors”), today filed two distinct actions to defend U.S. businesses and investors from discriminatory acts and unfair trade practices by the Government of the Republic of Korea (the “ROK Government”).

The actions follow sustained ROK Government interference in the Korean business operations of Coupang, Inc. (NYSE: CPNG), a U.S.-founded and headquartered technology company whose publicly traded stock is widely held by U.S. pension funds and other American shareholders. The ROK Government’s actions against Coupang appear designed to target, disable, and destroy an innovative American competitor to the apparent benefit of domestic and Chinese companies in the Korean market.

In response, the U.S. Investors have served formal notice of their intent to file arbitration claims against the ROK Government under the U.S.-Korea Free Trade Agreement (“KORUS”), which protects U.S. investors and companies against discriminatory acts and unfair trade practices.

Separately, the U.S. Investors have petitioned the U.S. Trade Representative to investigate the ROK Government’s unreasonable and discriminatory conduct under Section 301 of the Trade Act of 1974 and impose appropriate trade remedies.

The Notice of Intent under KORUS and the full Petition under Section 301 of the Trade Act are attached for download.

As detailed in these documents, the U.S. investors’ actions follow:

“When a close ally penalizes a U.S. company for its success, it compromises a vital partnership and opens the door to competitors that don’t play by the rules,” said Neil Mehta, Founder and Managing Partner of Greenoaks. “That is bad for U.S. investors, bad for Korean consumers and workers, and bad for the U.S.-Korea relationship. Trade agreements are only as strong as our willingness to stand up for them, and we are acting today to ensure that international competition is governed by rules, not the whims of politicians.”

ABOUT GREENOAKS

Greenoaks is a concentrated, long-term partner to extraordinary founders building generational businesses.

ABOUT ALTIMETER

Altimeter is a technology-focused investment firm that invests across public and private markets.