Conglomerate Owners' Families Sell Over 5 Trillion Won in Stocks Over the Past 1.5 Years

 

 

 

Owners of domestic conglomerates have sold over 5 trillion won worth of affiliate stocks in the past 18 months.

Notably, the three women of the Samsung family sold stocks worth 3.3 trillion won to pay inheritance taxes.

According to corporate data research institute CEO Score, from January 2023 to last June, the total amount of stock disposals by conglomerate owners amounted to 5.067 trillion won.

 

 

 

The Samsung family sold the most stocks during this period.

Hong Ra-hee, former director of the Leeum Samsung Museum of Art, Lee Boo-jin, president of Hotel Shilla, and Lee Seo-hyun, president of Samsung C&T, collectively sold stocks worth 3.3157 trillion won.

Former director Hong Ra-hee sold 1.4052 trillion won worth of Samsung Electronics shares, while President Lee Boo-jin disposed of stocks in Samsung Electronics, Samsung SDS, Samsung C&T, and Samsung Life Insurance, totaling 1.1500 trillion won.

President Lee Seo-hyun also secured 760.6 billion won by selling shares in Samsung Electronics and Samsung SDS.

This appears to be a measure to alleviate the burden of substantial inheritance taxes.

Since the passing of the late Chairman Lee Kun-hee, the Samsung family has been using the installment payment system to pay about 12 trillion won in inheritance taxes over five years, starting from April 2021.

Meanwhile, Samsung Electronics Chairman Lee Jae-yong did not sell any shares.

 

 

 

The next largest stock disposal came from the Hyundai Department Store Group.

Chairman Chung Ji-sun sold 180.9 billion won worth of Hyundai Department Store shares.

Vice Chairman Cho Hyun-sang of HS Hyosung sold 135.9 billion won worth of Hyosung Heavy Industries shares.

This appears to be part of the process of splitting affiliates and transitioning to a holding company structure between brothers.

Following this, Vice Chairman Chung Kyung-sun of Hyundai Department Store Group (101.7 billion won), Chairman Jang Se-ju of Dongkuk Steel Group (93.8 billion won), Chairman Yoon Seok-min of Taeyoung Group (77.6 billion won), General Manager Choi Sung-hwan of SK Networks (72 billion won), and Chairwoman Shin Young-ja of Lotte Foundation (67.6 billion won) also sold stocks.

On the other hand, the amount of stock acquisitions by conglomerate owners barely exceeded 1 trillion won.

Approximately 60% of these acquisitions were made by Hyundai Department Store Group, OCI Group, and Dongkuk Steel Group.

These groups actively acquired stocks as part of restructuring their corporate governance through transitions to holding company structures and affiliate separations.

Over the past year and a half, the total amount of inheritance and gifts by conglomerate owners was estimated at 1.2134 trillion won.

 

 

 

The owner family that received the most stocks through inheritance and gifts was the Hyosung Group.

The shares of the late Honorary Chairman Cho Suck-rai were inherited by Chairman Cho Hyun-joon and Vice Chairman Cho Hyun-sang.

Other groups, including Hansol Group, Amorepacific Group, Hyundai Green Food, and GS Group, are also restructuring their corporate governance through inheritance and gifts.

Chairman Cho Dong-hyuk of Hansol Group gifted stocks to his eldest daughter, Chairman Suh Kyung-bae of Amorepacific Group gifted stocks to his younger daughter, Chairman Chung Ji-sun of Hyundai Green Food gifted shares to his wife, children, and nephews, and Honorary Chairman Huh Chang-soo of GS Group gifted shares to his son, Huh Yoon-hong, president of GS Engineering & Construction.

출처 : 산경투데이(https://www.sankyungtoday.com)

 

 

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Conglomerate Owners' Families Sell Over 5 Trillion Won in Stocks Over the Past 1.5 Years