Chairman Park Chan-koo, nephew Park Chul-wan, vice president, demands a change of management after leaving special relationship
Chairman Park’s refuted “Sudden demands are unstable… We will respond carefully”
Kumho Petrochemical Group’s relationship between Chairman Park Chan-koo and his nephew Park Chul-wan, executive director, had an abnormality and was engulfed in a dispute over management rights between relatives.
When Managing Director Park Chul-wan declared that he would break away from the’special relationship’ with Chairman Park and requested a change of management, Chairman Park refuted that it was an “unusual request” and the dispute intensified.
According to the electronic disclosure of the Financial Supervisory Service on the 28th, managing director Park Chul-Hwan (42) said through the disclosure the previous day, “We will resolve the joint ownership and special relationship with the existing representative reporter (Chairman Park Chan-gu).”
Park is the son of the late Kumho Group Chairman Park Jung-gu and the nephew of Park Chan-gu (72), the largest individual shareholder with a 10% stake in Kumho Petrochemical.
It is reported that Park also sent a shareholder proposal to the company requesting a change of directors and increase of dividends.
Chairman Park Chan-koo owns a 6.7% stake, and Park Joon-kyung, the son of Chairman Park, owns 7.2% and Park Joo-hyung, managing director 0.8%.
Until now, managing director Park Chul-wan’s shares were also tied to a special relationship with Chairman Park, but it was announced through a public announcement that Park would dissolve his special relationship with Chairman Park and take steps on his own.
In a group greeting in July last year, it is known that there were signs of cracking, such as Park’s son, Park Joon-kyung, was promoted and Park was not promoted.
Some analysts say that as Asiana Airlines was sold to Hanjin Group, Managing Director Park jumped into the management of Kumho Petrochemical.
The business community reports that it is highly likely that Park will compete with Chairman Park for the appointment and dismissal of directors in association with the construction company IS Dong-seo, which recently bought a 3-4% stake in Kumho Petrochemical at the shareholders’ meeting in March.
Chairman Park confirmed that it received shareholder proposals such as outside directors, audit recommendations, and dividend expansion from Managing Director Park at the end of last year through the ‘Position of Kumho Petrochemical regarding shareholders’ proposals by Park Cheol-wan,’ distributed to the media this afternoon.
“The company achieves maximum performance despite difficult conditions due to Corona 19, and is making every effort to maximize shareholder value by reflecting the stock price.” “In this situation, (Managing Director Park) was suddenly without prior consultation without prior consultation. “I think it is unwise to ask for a change of management and excessive dividends.”
In particular, Chairman Park argued, “First of all, I ask shareholders not to be shaken by the movement of unfair forces that are trying to gain economic benefits through short-term stock price hikes by promoting shareholder proposals through management rights disputes.”
At the same time, “As a general shareholder, the company and the management will specifically review the content requested by the company’s executive director as a shareholder’s proposal and take care of it,” he said. “We will take all necessary measures to protect the corporate and shareholder values. “Please cooperate and support without shaking.”
In the Kumho Group, there have been disputes over management rights between relatives in the past.
In 2009, the third son of the founder Park Incheon, Park Sam-koo, the former chairman of Kumho Asiana Group, and the fourth son, Park Chan-koo, had a’Brotherhood Difficulty’.
After a long period of conflict, it was divided into Kumho Asiana Group and Kumho Petrochemical Group in 2015.
/yunhap news