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Photo courtesy of Yonhap News |
[Alpha Biz= Paul Lee] SEOUL, August 25, 2025 — The number of companies affiliated with Korea’s large business groups decreased by 12 over the past three months, though some IT and content firms such as Krafton and Naver significantly expanded their networks by adding new affiliates.
According to data released by the Korea Fair Trade Commission (KFTC) on August 25, the total number of companies under the nation’s 92 designated large business groups fell from 3,301 as of May 1 to 3,289 as of August 1. During this period, 52 groups experienced changes in their affiliated companies.
In total, 61 companies were newly added, while 73 were excluded. Most new additions were due to company establishments or equity acquisitions, while exclusions were largely the result of mergers, sales, or liquidations. Krafton led with 10 new affiliates, followed by Naver (4), Hanwha (3), Taekwang (3), and Sono International (3). On the other hand, Daekwang excluded 20 affiliates, Youngone 5, and SK 4.
The KFTC highlighted three notable trends in the latest changes:
Focus on Synergies with Core Businesses
Rather than entering new sectors, groups mainly sought synergies with their existing businesses. LG added AI robotics firm Bear Robotics Korea, Hanwha brought in food services company Ourhome, Naver added real estate platform Asil, Krafton acquired 10 firms including game and ad-tech company Neptune, and Sono International incorporated T’way Air.
Restructuring for Efficiency and Financial Stability
Several cases of mergers and divestitures reflected efforts to streamline operations and improve financial soundness. SK merged its semiconductor inspection subsidiaries, while POSCO consolidated LNG affiliates. Kakao sold webtoon studio Next Level Studio, and Naver divested game developer Studio Foreap.
Exclusions in Newly Designated Groups Linked to Family or Executive Ownership
Daekwang excluded 20 companies controlled by executives, while Bithumb, Youngone, and Sono International removed certain affiliates due to recognition of independent family management or executive resignations.
Alphabiz Reporter Paul Lee(hoondork1977@alphabiz.co.kr)
