Seoul: SPC Group, a significant player in the South Korean food and beverage industry, has announced the creation of a new holding company, Sangmidang Holdings (SMDH), aimed at establishing a transparent and professional governance framework.
According to Yonhap News Agency, the move marks a strategic shift from the previous structure where the flagship affiliate, Paris Croissant Co., functioned as the group's de facto holding entity. Paris Croissant Co. is known for operating the Paris Baguette bakery brand along with various other food and beverage chains. Under the new arrangement, SMDH will serve as the holding company, whereas Paris Croissant will transition to an operating company. This change follows a function-focused physical split designed to enhance operational efficiency.
SMDH's mandate will include setting mid- to long-term visions and global business strategies, providing support to affiliates to allow them to concentrate on their core business activities. An official from SPC stated that the company aims to build a governance system that garners trust both domestically and internationally, grounded in transparency and responsible management.
The name Sangmidang Holdings is a tribute to a bakery named Sangmidang, initiated in 1945 in Ongjin, Hwanghae Province, by the late Honorary Chairman Hur Chang-sung. His legacy continues under the leadership of his son, current SPC Chairman Hur Young-in, who is anticipated to lead the new holding company.