Chairman Koo Bon-jun Sells Shares of LG Corporation... LX Group's Spin-off Officially Begins

Sale of 4.18% Stake in LG Corp.
Acquisition of LX Holdings Shares Held by LG CEO Koo Kwang-mo and Others with Sale Proceeds
Compliance with Fair Trade Act Requirements for Affiliate Separation

▲Koo Bon-joon, Vice Chairman of LG. (Provided by Koo Bon-joon)

[Asia Economy Reporter Hwang Yoon-joo] The separation of affiliates between LX Group and LG Group has officially begun.

On the 14th, LX Group announced that Gu Bon-jun, chairman of LX Holdings, sold his 4.18% stake in LG Corporation through an off-hours block trade and used the proceeds to purchase a 32.32% stake in LX Holdings held by Gu Kwang-mo, CEO of LG Corporation, and others.

Through this transaction, Chairman Gu Bon-jun now holds a total of 40.04% of LX Holdings (including his previous 7.72% stake), becoming the largest shareholder of LX Holdings and establishing an independent management foundation for LX Group.

Additionally, during this sale process, Chairman Gu Bon-jun donated 1.5% of LG Corporation shares to three LG public interest foundations?LG Yeonam Cultural Foundation, LG Sangnok Foundation, and LG Welfare Foundation?to participate in LG's social contribution activities that have continued since the late founder Gu In-hoe.

As a result, Chairman Gu Bon-jun's stake in LG Corporation decreased from 7.72% to 2.04%, and when combined with the shares held by his family, the total stake in LG Corporation amounts to 2.96%, meeting the affiliate separation criterion under the Fair Trade Act of less than 3% ownership by related parties of the same person.

An LX Holdings official stated, "Through this share adjustment between LX and LG, the requirements for affiliate separation have been met," and added, "The two groups will sequentially proceed with procedures for affiliate separation, including applying to the Fair Trade Commission for affiliate separation in the future."

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