Seoul: South Korea's antitrust regulator announced that the number of conglomerate-affiliated companies decreased slightly from three months earlier, amid industry-wide restructuring efforts in sectors such as construction and chemicals to enhance profitability.
According to Yonhap News Agency, the country's 92 conglomerates held 3,233 affiliates as of February 2, a decrease of 42 from the 3,275 recorded three months earlier, as per data from the Fair Trade Commission (FTC). The FTC reported the removal of 102 firms from the list while adding 60 new ones.
SK Group led the reduction, selling or absorbing a total of 34 affiliates. Meanwhile, Kakao Group, known for its popular messenger app Kakao Talk, divested four companies, including its film and content production firms.
Despite these reductions, some companies have turned towards next-generation technologies and the clean energy sector to secure future growth engines. The FTC noted that Samsung Group established two new bio-tech affiliates, while LG Group acquired stakes in a domestic solar farm operator.
Under South Korean law, conglomerates with assets of 5 trillion won (US$3.82 billion) or higher are required to disclose the status of their businesses, along with details of large-scale internal trade.