'+T-Broad 1 Person' SKB New Board Composition Begins in Earnest

Launch of Merged Corporation on the 30th... External Directors Also Participate to Strengthen 'Broadcasting' Expertise

[Asia Economy Reporter Koo Chae-eun] The new merged corporation of SK Broadband is beginning to finalize its board of directors, including one member from the TBroad board. Attention is also focused on the participation of outside directors to strengthen expertise in the 'broadcasting' sector.

According to industry sources on the 27th, the merged corporation of SK Broadband and TBroad, named 'SK Broadband,' is set to launch on the 30th, with the outline of its board gradually becoming clearer. The integrated corporation's board will include Choi Jin-hwan, CEO of SK Broadband (inside director), Yoo Young-sang, head of SK Telecom's MNO Business Division (non-executive director), and one member from the TBroad board of the merged company. Additionally, the Korea Communications Commission's recommendation to appoint broadcasting experts as outside directors as a precondition for merger approval, along with plans for a public listing next year, are expected to be reflected in the board composition.

The existing SK Broadband board consists of seven members: one inside director (Choi Jin-hwan), two non-executive directors (Yoo Young-sang, Ha Hyung-il), and four outside directors and audit committee members (Nam Chan-soon, Kim Seon-gu, Oh Yoon, Jung Gap-young). Among them, five members (one non-executive director and four outside directors) have resigned. This means that five out of the seven members will be replaced with the launch of the integrated corporation.

SK Broadband is also considering appointing a single auditor without operating an audit committee or outside director system to speed up decision-making and improve work efficiency. However, since SK Broadband is currently unlisted but plans to go public next year, there is a possibility of expanding the number of outside directors. Under current commercial law, listed companies with assets exceeding 2 trillion won must have at least three outside directors, constituting a majority of the board. Especially since the Korea Communications Commission has made it a 'recommendation' for the merger to appoint broadcasting experts as outside directors for a certain period, it is likely that the board will include members with backgrounds capable of ensuring the public nature of broadcasting.

The shareholding structure of the merged SK Broadband will be reorganized as follows: SK Telecom 74.4%, Taekwang Industrial 16.8%, Mirae Asset Daewoo 8%, and treasury shares and others 0.8%. After the merger, the number of paid broadcasting subscribers will be 7.94 million (as of the second half of last year), with a market share of 24.03%. Although it ranks third behind the KT group (31.31%) and LG Uplus (24.74%), it is the first IPTV and cable TV merged corporation in Korea. Furthermore, with the possibility of additional mergers with CMB and Hyundai HCN, it is expected to open a powerful 'paid broadcasting big three system.'

This content was produced with the assistance of AI translation services.