Seek to recognise $356m impairment charge related to Zhaopin investment
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The news: Online employment marketplace Seek will recognise a $356 million post-tax total impairment charge related to its investment in Chinese careers platform Zhaopin in its half-year 2026 report, subject to auditor's review.
The context: Following the impairment, the value of Seek's total investment in Zhaopin is expected to fall to $182 million in the half-year, down from $529 million from the prior corresponding period.
Seek said its ownership stake in Zhaopin would increase from 23.5% to about 30% on completion, with no cash outflow required.
Zhaopin has appointed a new management team to conduct a strategic review, as it shifts the business towards new growth areas aligned with China's economic priorities amid weak macroeconomic conditions and heightened competitive pressures.
Seek is scheduled to release its half-year results on 17 February.
The source: ASX
