KT CEO Koo Hyun-mo Requests Primary Election Despite 'Qualified' Evaluation for Reappointment (Update)

KT CEO Koo Hyun-mo is attending and presenting at the 'KT, AI Strategy Press Conference' held on the 16th at the Sofitel Ambassador Seoul Grand Ballroom in Songpa-gu, Seoul. Photo by Kang Jin-hyung aymsdream@

[Asia Economy Reporter Oh Su-yeon] KT CEO Koo Hyun-mo received a qualification approval from the CEO candidate screening committee but made a bold move by requesting additional screening of multiple candidates.

The KT board of directors announced on the 13th that it had received the screening results from the CEO candidate screening committee, which deemed CEO Koo Hyun-mo’s reappointment as qualified.

However, considering concerns about the governance of ownership-dispersed companies raised by major shareholders, CEO Koo requested a review of the possibility of screening multiple candidates. The board stated, "After in-depth discussions, it was decided to proceed with additional screening."

CEO Koo had previously expressed his intention to seek reappointment on the 8th of last month. In accordance with relevant regulations, the board formed a CEO candidate screening committee and conducted an interview on the 8th to prioritize screening CEO Koo’s eligibility, announcing the results on this day.

Having received a qualification approval for reappointment through the procedure, CEO Koo can run as a sole candidate. By directly requesting additional screening, it is interpreted that he showed strong confidence in the possibility of reappointment based on his management performance so far. CEO Koo has gained shareholders’ support by successfully transforming the company from a telco (telecommunications company) to a digico (digital platform company). He raised the stock price from around 19,700 won at the time of his inauguration to 37,600 won as of the closing price on this day.

Additionally, this move aims to dispel concerns raised by the largest shareholder (10.35%), the National Pension Service. On the 8th, Kim Tae-hyun, chairman of the National Pension Service, stated that the stewardship code should be strengthened in the process of appointing representatives of ownership-dispersed companies.

The candidates for the primary election and the screening schedule have not yet been finalized. According to the articles of incorporation, candidates must be decided at least three months before the shareholders’ meeting in March next year, so it is expected to proceed with a sense of urgency.

If CEO Koo succeeds in his reappointment this time, he will serve as CEO until March 2026.

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