The Hyosung Group has adopted a holding company structure under a governance reform plan.
The group has split Hyosung Corp. into five companies, with Hyosung Corp. becoming the holding company that controls the four spun-off subsidiaries -- Hyosung T&C, Hyosung Advanced Materials, Hyosung Heavy Industries and Hyosung Chemical.
Group chairman Cho Hyun-joon has become the CEO of Hyosung Corp. He left management of the four subsidiaries to professional managers.
Hyosung announced on June 3 that the company appointed 11 directors and 20 outside directors as members of the boards of directors of the five companies.
"Hyosung will pursue transparency in management and strive to enhance corporate value by sharpening global competitiveness based on the expertise of the five companies," chairman Cho said.
Hyosung plans to complete the listing of each of the five companies on the stock market on July 13 and finalize its conversion into a holding company system through in-kind investment and capital increases within this year.