Blue Elephant, a South Korean contemporary eyewear brand, has secured KRW 100 billion in Series A funding from global private equity firm Affinity Equity Partners Korea, valuing the company at roughly KRW 400 billion.
Blue Elephant signed a stock purchase agreement (SPA) and new share subscription agreement (SSA) with Affinity Capital Managers Korea. Under the deal, Affinity will first inject KRW 75 billion to acquire a mix of existing and newly issued shares. The firm also holds an option to invest an additional KRW 25 billion within six months; if exercised, its stake would rise to as much as 25.8%, making it the company’s second-largest shareholder behind former CEO and largest shareholder Choi Jin-woo.
The investment is expected to substantially strengthen Blue Elephant’s balance sheet: the company’s debt-to-equity ratio, which stood at 307% at the end of 2025, is projected to fall below 60% once the deal closes, giving it a much stronger financial foundation to support overseas expansion.
Founded in 2019 and based in Seoul, South Korea, Blue Elephant is a contemporary eyewear brand run by co-CEOs Ko Kyung-min and Yoo In-cheol, often described in Korean media as a potential successor to Gentle Monster in the K-eyewear category. The company designs and sells sunglasses and optical frames, and has built a growing store presence domestically, including a recently opened flagship in Los Angeles as part of its early push into the U.S. market.
Blue Elephant’s revenue reached KRW 50.7 billion in 2025, up 69% year-over-year, a growth trajectory that investors cited as a key factor behind the deal’s valuation. The company has also drawn scrutiny over unrelated legal and governance issues, including a plagiarism dispute involving Gentle Monster and a loan arrangement tied to its former CEO, though these have not been reported as affecting the terms of this investment round.
Blue Elephant plans to use the new capital to accelerate its global expansion, with the United States and Japan identified as priority markets for growing both offline store networks and online sales channels. The company also intends to apply Affinity’s operational and management expertise to upgrade its internal governance and management systems to global standards. Separately, part of the proceeds is expected to go toward debt repayment, following the company’s earlier borrowing to fund real estate purchases in Seoul’s Seongsu and Yongsan districts and to secure working capital.
