It has been confirmed that the annual revenue of NEXROC Group and SVCV, which announced plans to launch a public tender offer for shares of major domestic entertainment agency JYP Entertainment, is at most around 6.6 billion won.
Furthermore, doubts have been raised regarding their financial capacity and actual substance, as the legal entity they cite as their parent body had its corporate status revoked a year ago due to an inability to pay taxes of only several hundred thousand won, and the funding disclosure filed with U.S. securities regulators indicates that there are no investors.
According to the Electronic Data Gathering, Analysis, and Retrieval (EDGAR) system of the U.S. Securities and Exchange Commission (SEC) on Tuesday, the annual revenue listed in the private placement registration statement submitted by "NEXROC SVCV, (formerly SVCV Group)," NEXROC's disclosure entity, on the 20th was only in the range of "USD 1 million to USD 5 million (13 billion to 66 billion won)."
This means that a small-scale, non-listed corporation with annual revenue in the tens of billions of won has declared an M&A deal (acquisition of 50% of shares) worth approximately 750 billion to 800 billion won against a major KOSDAQ listed company with a market capitalization in the range of 1.5 trillion won.
The details of the funding further fuel suspicions. The company stated in its October disclosure that it had raised USD 50 million (approximately 66.3 billion won).
However, the "Number of Investors" field in the actual funding record is listed as "0." Similarly, the number of investors was also 0 in the funding disclosure for USD 25 million (33.1 billion won) filed on Sept. 18.
Although they reported raising funds amounting to 100 billion won on paper, they have not disclosed any investors. This has led to criticism that they may be inflating their financial capacity by exploiting the flaw in the Form D system, which is publicly disclosed immediately upon filing without prior review.
Checking Delaware registration records… "Status revoked" due to 790,000 won tax arrears
The legal substance of the company is also effectively in a state of extinction. According to the corporate registration records of the Delaware State Department of State, the corporate status of "SVCV GROUP INC.," NEXROC's parent body, is explicitly listed as "Forfeited."
Reviewing the filing history on the records, this corporation only submitted one page of stock corporation formation documents at its establishment on April 11, 2024. It has never filed the annual reports that are mandatorily required to be submitted every year since then.
Even Harvard Business Services, which handled the corporate formation agency, submitted a "Resignation of Registered Agent Without Successor" to the state government on September 16, 2025. Consequently, failing to appoint a new agent, the corporation's status was finally revoked as of October 16, 2025. It also failed to pay state taxes of USD 595.04 (790,000 won).
Additionally, although NEXROC has introduced itself as a "Japanese financial company," no registered corporations or branch registrations have been found on the National Tax Service's corporate number publication site in Japan or with the Financial Services Agency (FSA).
"Target undisclosed" acquisition announcement in Australia too… Unreachable by phone in Japan
NEXROC's acquisition preview is not limited to JYP. NEXROC also announced public tender offers for one listed life insurance company each in the U.S. and Australia earlier this month. They stated that they had been conducting non-public negotiations with these companies and would proceed with public tender offers by the 10th of next month, but did not disclose the target companies.
However, no listed life insurance company has yet issued a related disclosure to the Australian Securities Exchange (ASX).
Locally, it is believed that NEXROC's substance can be verified after the deadline they set, November 10. This is because Section 631 of the Australian Corporations Act stipulates criminal penalties if a company announces a public tender offer through press releases or other means but fails to proceed with an actual housing subscription within two months, or makes false announcements without funding capacity.
It is predicted that NEXROC will find it difficult to avoid legal punishment for market disruption if they fail to commence the actual public tender offer as per their announced schedule.
The recent acquisition preview of JYP Entertainment is also unfolding in a similar manner. On Oct. 26, NEXROC and SVCV distributed a press release to domestic media, announcing that they would launch a public tender offer for 25% to 50% of JYP Entertainment's issued shares with a 30% premium over the reference price. They plan to submit a Letter of Intent (LOI) aiming to commence by the 20th of next month, but JYP Entertainment stated, "We have not received any proposal regarding share acquisition," drawing a clear line.
This newspaper attempted to contact NEXROC's Tokyo office in Japan, as listed in the press release, multiple times for fact-checking. However, the person who answered the phone only instructed to "contact the company's main number" and did not respond to inquiries.
Requests for a contact person and contact information available for interviews went unanswered. The U.S. main number listed on the official homepage also only produced a voice message stating, "We are unable to connect your call at this time," with no dial tone.
A source in the capital markets said, "Under domestic Capital Markets Act, public tender offers require a mandatory procedure of submitting a registration statement to financial authorities with proof of large fund deposits (bank balance certificates), not just media reports."
The source added, "In a situation where overseas legal status and funding substance are opaque, repeatedly declaring acquisitions of listed companies without specific evidence could lead to criticism that such behavior involves the potential for unfair trading aimed at short-term stock price fluctuations."
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