As of February, there were 3,205 companies affiliated with large corporations, with 69 being newly incorporated and 148 excluded. Companies like Hanjin, Hanwha, and KT saw a net increase in their subsidiaries. Over the past three months, domestic large corporations have focused on management efficiency and business restructuring, resulting in a decrease of 79 subsidiaries.
Groups such as Taeyoung, Daishin Securities, and SK recorded a significant reduction in affiliates, while Hanjin, Hanwha, and KT expanded their operations. According to the Fair Trade Commission’s report on changes in affiliated companies within the major corporate groups (with assets exceeding 5 trillion KRW) from November 1, last year, to February 3, this year, the number of subsidiaries decreased from 3,284 to 3,205.
There were 69 new affiliates incorporated across 38 groups through company formation (38 new, 3 split) and equity acquisitions (18). Meanwhile, 148 subsidiaries were excluded from 44 groups through processes such as mergers (28 companies), equity sales (14 companies), and liquidation (51 companies).
Hanjin acquired the most new subsidiaries (8), followed by Hanwha (4), KT (3), MDM (3), and Jungang (3). On the other hand, Taeyoung saw the most exclusions (30), followed by Daishin Securities (16) and SK (13).
During this period, many companies actively reduced their size by excluding subsidiaries. Taeyoung Group sold off its stake in the waste management company Ecobit to improve its financial structure and management efficiency, ultimately excluding 30 subsidiaries. SK Group reorganized its business by merging SK Innovation and SK E&S and sold its stake in the semiconductor-related company ISCM, removing a total of 13 subsidiaries. Additionally, to enhance business competitiveness and management efficiency, Hanwha Industrial Solutions under Hanwha Group merged with Hanwha Vision, and Kakao under the Kakao Group merged with Daum Global Holdings. DL Group sold its stake in Highway Solar.