Sunday, November 17, 2019
Stock Assets of Conglomerate Heads and Their Families Top 100 Tril. Won
One-third of Assets Passed down to Children
Stock Assets of Conglomerate Heads and Their Families Top 100 Tril. Won
  • By Yoon Young-sil
  • October 17, 2019, 09:03
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The total equity value of the chairpersons of the 51 groups and their families is estimated at 110 trillion won.

Industry tracker CEO Score recently analyzed the 51 South Korean business groups led by chairpersons and constituting the 59 large business groups designated by the Korea Fair Trade Commission and said on Oct. 16 that the total equity value of the chairpersons of the 51 groups and their families was 109,616.3 billion won as of Oct. 10 with approximately one-third of the total already handed down to their posterity.

The value of the equity owned by those chairpersons’ sons and daughters totaled 36,283.3 billion won. The ratio, 33.1 percent, rose 3.5 percentage points in 22 months.

In Daelim Group and Taeyoung Group, the sons and daughters owned 99.9 percent and 98.2 percent of the equity of the chairpersons and their families, respectively. This means stock asset inheritance is now almost completed in the two groups.

The ratio is 87.5 percent for KCC, 85.1 percent for Aekyung, 80.4 percent for Hyosung, 77.1 percent for Hoban Construction, 76.9 percent for Hyundai Department Store, 75.7 percent for Doosan, 73.5 percent for Dongwon, 70.7 percent for Lotte, 65.9 percent for Hankook Technology Group, 65.1 percent for Jungheung Construction, 60.9 percent for DB, 59.2 percent for Hanwha, 57.0 percent for SeAH, and 54.4 percent for Kumho Petrochemical.
 

On the other hand, the parent generation still has 100 percent of the equity in Kyobo Life Insurance, Kolon, Kakao, E-Land, Celltrion, Naver, Netmarble, and Korea Investment Holdings.
 

When it comes to Samsung Group and Hyundai Motor Group, the two largest of them, Samsung Electronics vice chairman Lee Jae-yong and Hyundai Motor Group executive vice chairman Chung Eui-sun already inherited management rights yet the equity values of their generation stand at 34.2 percent and 45.7 percent, respectively.

In LG Group and OCI, stock asset inheritance proceeded at the most rapid pace as of late with their current leaders’ fathers deceased. Specifically, the current generation’s stock asset ownership in LG Group jumped 25.4 percentage points to 46.1 percent in 22 months and that in OCI more than doubled from 22 percent to 48 percent during the same period.