Kim Bum-soo donates 5 trillion won and Kim Bong-jin 50 billion won… Market cap of 20 companies decreases every year

Enter 2021.02.20 06:00

The business community “It also affects the difficult procedure after the Gukjeong Nongdan incident”

Starting empty-handed and self-made, there is a strong donation wind among entrepreneurs. Beomsoo Kim Kakao (035720)Following the announcement of the plan to donate 5 trillion won by the chairman, Chairman Kim Bong-jin, who runs the delivery application’People of Delivery’, also announced that he will give back more than 500 million dollars (about 550 billion won) to society. Large domestic companies also donate hundreds of billions of won each year, but the amount of donations has been decreasing every year after the governmental Nongdan incident under the Park Geun-hye administration.

According to the Financial Supervisory Service’s electronic disclosure system on the 20th, donations of the top 20 companies in market capitalization decreased by 12.5% ​​from a total of 1,1402 billion won in 2016 to 9974 billion won in 2019. Last year, it was found that corporate donations declined further in the aftermath of the coronavirus infection (Corona 19). Until the third quarter of last year, donations of the 20 largest companies in the market totaled 6566 billion won, down 22% (193.7 billion won) from the third quarter of 2019.

1st in market capitalization Samsung Electronics (005930)The donation of Korea was 357.7 billion won in 2019, a 12% decrease from 40.7 billion won in 2016. The cumulative donation in the third quarter of last year was 239.3 billion won, down 13% from the same period in 2019. A Samsung official said, “It is difficult to specify a clear reason because the situation is different every year.”

LG Chem (051910)With the end of funding for the PyeongChang Winter Olympics, donations in 2019 were KRW 14.6 billion, down 48.8% from KRW 28.5 billion in 2016. In particular, the cumulative donation in the third quarter of last year was only 7.5 billion won. An official from LG Chem said, “Since the end of 2018, social contribution activities have been reorganized, focusing on eco-friendly green, and there has been an adjustment of the contribution program, and in the case of last year, offline activities were reduced due to corona.”

Samsung Biologics (207940)Compared to 2016, donations in 2019 decreased by 95.6%. Same period SK Telecom (017670)81.8% silver, Samsung C&T (028260)Decreased by 40.6%. Regarding the decrease in donations, some companies explained that “in addition to the cash donation that is caught in donations in the financial statements, they are carrying out projects such as technology transfer and education.”

A business official said, “Since 2016, when the Choi Soon-sil crisis broke out, corporate cash donations have decreased as conditions have become stricter, such as going through a board of directors’ resolution whenever large companies donate more than a certain amount.” It seems that donations have decreased further.”

Emphasizing ESG (environmental, social, governance) management at the group level SK hynix (000660)Showed that the donation in 2019 was 59.5 billion won, an increase of about 10% from 2016.

Unlike most of the companies that reduce donations, the so-called’dirt spoon’ founders are continuing a large-scale donation process that was difficult to see in the business world. On the 8th, Chairman Kim Beom-soo, who founded Kakao after living in a single room with eight family members, said that he would donate half of his fortune to society. Chairman Kim’s fortune is known to be more than 10 trillion won, including 12.5 million shares of Kakao. This means that the donation amount is at least 5 trillion won.

Chairman Kim Beom-soo said, “During my life, I made a pledge to donate more than half of my assets to solve social problems.” I heard.”

Chairman Kim Bong-jin also announced that he will return half of his and his wife’s wealth to society after 10 years of starting up elegant brothers who grew up in a difficult family situation. Chairman Kim’s fortune is known to be around 1 trillion won, including the value of DH shares received from the sale of his elegant brothers to the German Delivery Hero (DH).

In his pledge, Chairman Kim said, “It is difficult to explain what I achieved by going to art college with difficulty in my family, where I wasn’t enough to sleep in the dining room that guests used in high school, except that I was lucky and blessed by God.” Chairman Kim said, “As John Rolls said, its value shines even more when the wealth is shared according to the principle of’minimum beneficiary priority consideration,'” said Chairman Kim. “If the dream I dreamed becomes the dream of many founders who challenge to change the world, I think I’ll be happy.”