EDC supports first loan in South Korea with $200 million in financing for Lotte Shopping
This marks the inaugural deal under the EDC-Lotte Market Leader Partnership (MLP) program
OTTAWA, ON, Nov. 18, 2025 /PRNewswire/ -- Today, Export Development Canada (EDC) is announcing a $200 million loan to Lotte Shopping Co., Ltd., one of South Korea's largest and most diversified retail conglomerates. This marks EDC's first loan transaction in South Korea. It is also the inaugural deal between Lotte Shopping and EDC, following the Market Leadership Partnership (MLP) program Memorandum of Understanding (MOU) signed recently in September, which could provide up to US$500 million in EDC financial support for Lotte Shopping over the next three years.
The current transaction includes a $150 million EDC guarantee with its banking partner, Sumitomo Mitsui Banking Corporation, who will also provide an additional $50 million direct facility to Lotte Shopping. This financing is set to boost the company's capital expenditures and strengthen Lotte Shopping's retail operations across its department stores, hypermarkets, supermarkets and e-commerce platforms. As of December 2024, Lotte Shopping, a leading retail company, operates 902 stores globally, with the majority in South Korea and a growing presence in Vietnam and Indonesia. Lotte Shopping is part of Lotte Group, South Korea's fifth largest conglomerate.
Denominated in Korean Won (KRW), the facility is the first-of-its kind for EDC. By offering financing in local currency, EDC enables its partners in South Korea such as Lotte Shopping to manage foreign exchange risks more effectively. The move demonstrates EDC's long-term commitment to build trust and deepen relationships in Indo-Pacific priority markets including South Korea.
Since opening its local representation in October 2023, EDC's presence in South Korea continues to grow. The team has deepened ties with South Korean corporations and partners, positioning EDC as a trusted collaborator and an active contributor to expanding Canada-Korea trade and investment within the region.
"This milestone marks an exciting new chapter for EDC in South Korea," said Alison Nankivell, EDC's President and CEO. "Through our partnership with Lotte Shopping, we've moved quickly from signing the MLP agreement to completing our first transaction. That's a clear example of what strong collaboration can achieve. This pioneering deal reflects EDC's tailored approach to meeting local market needs and highlights our commitment to strengthening partnerships and supporting Canadian companies as they expand their businesses in dynamic markets like South Korea. Partnering with an industry leader like Lotte Shopping, with its regional network and expertise, we look forward to opening new pathways for Canadian exporters, from agri-food to advanced technology, into key markets like South Korea, Indonesia, Vietnam and other key ASEAN markets as we work together to strengthen Canada's trade connections across the Indo-Pacific."
"Last month, I travelled across the Indo-Pacific with Prime Minister Carney, including a visit to South Korea, where I saw firsthand the incredible opportunities the country and the region hold for Canada and for our Canadian exporters," said The Honourable Maninder Sidhu, Minister of International Trade. "This partnership between EDC and Lotte Shopping highlights Canada's focus on diversifying trade by collaborating with strategic partners like South Korea. We will continue to strengthen partnerships across the Indo-Pacific region to advance Canada's economic ties, create opportunities for Canadian businesses and secure our long-term prosperity."
As part of the MLP MOU, EDC and Lotte Shopping's collaboration will also facilitate the exchange of market intelligence to help Canadian firms better navigate and enter South Korea and other Indo-Pacific markets. The partnership will also foster strategic engagement between Lotte Shopping's senior leadership and Canadian executives to explore potential investments, joint ventures and partnerships in Canada that deepen bilateral trade and economic ties.
"We are honored and excited by our partnership with EDC, which will help our efforts in creating the number one shopping destination in Korea with Lotte Shopping," said Samuel Sanghyun Kim, Vice Chairman & Group CEO Retail HQ, LOTTE Group. "As the first step, we will leverage the financial support from EDC to facilitate our capital projects to further improve the shopping experience in our retail operations. We also look forward to working with EDC to bring the best of the best products from Canada to our customers in Korea, as well as work together to identify various opportunities to further strengthen our partnership through Lotte Shopping projects globally including in Vietnam, Indonesia and Canada."
South Korea is Canada's seventh largest merchandise trading partner and third in Asia, with bilateral trade in merchandise reaching $24.5 billion in 2024. Canada exported $7.6 billion of merchandise to South Korea last year, with growing opportunities in agri-food, seafood, cleantech and high-tech goods. The Canada–Korea Free Trade Agreement (CKFTA), signed in 2015, and the Comprehensive Strategic Partnership established in 2022, have further strengthened the bilateral relationship, opening new doors for Canadian exporters in one of Asia's most dynamic and business-friendly markets.
About EDC
Export Development Canada (EDC) is a financial Crown corporation dedicated to helping Canadian businesses make an impact at home and abroad. EDC has the financial products and knowledge Canadian companies need to confidently enter new markets, reduce financial risk and grow their business as they go from local to global. Together, EDC and Canadian companies are building a more prosperous, stronger and sustainable economy for all Canadians. For more information and to learn how we can help your company, call us at 1-800-229-0575 or visit www.edc.ca.
SOURCE Export Development Canada
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