Yukyungseon, Chairman of Yujin Group, "Will Create Strong YTN"...迎 3rd Growth Phase (Comprehensive)

Goal of Re-entering Broadcasting and Content Business
Chairman Yoo Known as 'M&A Master' in the Market

Yoo Kyung-sun, Chairman of Yujin Group, stated on the 24th that once the acquisition of YTN is finalized, he will make YTN a strong media company.

Chairman Yoo made this remark during an exclusive interview with Asia Economy on his way to the Yujin Group headquarters in Yeouido on the morning of the same day, discussing plans after acquiring YTN.

While Chairman Yoo was reserved about questions regarding the background of the YTN acquisition and funding, he responded to the question about how he plans to grow YTN by saying "Strong YTN."

Yoo Kyung-sun, Chairperson of Eugene Group, is having a conversation with employees.
[Photo by Asia Economy DB]

Goal to Re-enter Broadcasting and Content Business

In an official statement released the previous day, Yujin Group said, "Through acquiring shares of YTN, Korea's representative news channel, we aim to re-enter the broadcasting and content business." Yujin Group started its cable TV business by investing in Dream City Broadcasting, a comprehensive cable broadcasting company in Bucheon, in 1997, and grew as a cable TV operator with 400,000 subscribers in Bucheon, Gimpo, and Eunpyeong areas by acquiring Eunpyeong Broadcasting.

At that time, it was the first comprehensive cable broadcasting operator to launch high-speed internet services under its own brand and also attracted 30 million dollars from foreign companies. Although it initially decided to focus on media business as its core, it stepped back from the media sector in 2006 by selling its shares in Dream City Broadcasting to CJ Home Shopping to acquire Daewoo Construction. Yujin Group explained, "Yujin significantly grew its cable broadcasting business (SO) in the past, currently operates program provider (PP) businesses such as music broadcasting, and has over 10 years of experience as a private contractor for the public lottery business."

Yujin Group was selected as the final successful bidder for 319.9 billion KRW to acquire 30.95% of YTN shares held by KEPCO KDN and Korea Racing Authority the day before. Once the Korea Communications Commission approves the change of the largest shareholder, the share transfer process will be completed, making Yujin Group the largest shareholder of YTN. Yujin Group said, "Although we were selected as the preferred negotiator through bidding, since approval from the Korea Communications Commission is pending, we will prepare thoroughly," adding, "We will provide further details and future plans at a later opportunity." The Korea Communications Commission will decide on the approval based on the Broadcasting Act and other regulations, considering factors such as the public responsibility, fairness, and public interest of broadcasting, social credibility and financial capability, protection of viewers' rights, and ownership regulations concerning large corporations, media companies, and foreigners. Commissioner Lee Dong-gwan emphasized, "We will strictly, transparently, and promptly review the approval of the largest shareholder change in accordance with relevant laws."

Entering the Third Growth Phase?

With the acquisition of YTN, Yujin Group is expected to enter its third growth phase. Yujin Group traces its origins to Daehung Confectionery, founded in 1954 by founder Yoo Jae-pil (current honorary chairman). Daehung Confectionery changed its name to Yeongyang Confectionery and rapidly expanded by supplying hardtack to the military. The first phase of growth occurred when eldest son Yoo Kyung-sun became CEO in 1985. After competing with foreign companies, Yujin Group acquired Korea Cement in 2004 and subsequently acquired Logen Delivery and Hi-Mart in 2007. It expanded into finance by acquiring Seoul Securities and its subsidiaries. However, following the financial crisis and a downturn in the construction market, it sold Logen Delivery and Hi-Mart.

From the mid-2010s, the group experienced a second phase of growth. In 2015, it relocated its headquarters to a building in Yeouido that formerly housed the Small and Medium Business Corporation, and in 2017 successfully acquired Dongyang Co., Ltd. In 2018, Dongyang moved its office to Yeouido, consolidating the group's key affiliates in the area. In 2017, it acquired Pine Resort, which was undergoing corporate rehabilitation, for 190 billion KRW. Currently, the group has expanded into various sectors including building materials and distribution, finance, logistics and IT, leisure and entertainment, comprising over 50 subsidiaries with more than 5,000 employees. Major affiliates include Yujin Enterprise, Dongyang, Yujin Hanil Fibers, Yujin Investment & Securities, Yujin Investment Futures, Yujin Asset Management, Yujin Logistics, and Pureunsol Golf Club. Financially, as of 2021, the group recorded sales of 3.58 trillion KRW, assets of 5.43 trillion KRW, and operating profit of 190 billion KRW.

'M&A Master' Chairman Yoo Kyung-sun... Third Generation Management Succession in Full Swing

Known in the market as a "master of mergers and acquisitions (M&A)," Chairman Yoo graduated from Jungdong High School in Seoul and Yonsei University with a degree in Chinese Language and Literature. After serving as chairman of Yujin Enterprise, he succeeded his father as group chairman in 2004. Through aggressive M&A, he once elevated the group into the top 30 conglomerates in Korea.

This year, Yujin Group has begun full-scale succession preparations for third-generation management. In the personnel reshuffle conducted in March, Yoo's eldest son, Yoo Seok-hoon, then vice president of Yujin Enterprise, was promoted to president of the Group Management Innovation Division. Yoo's eldest daughter, Yoo Jeong-min, then manager at Dongyang, was also promoted to executive director and appointed as head of financial planning and growth strategy office.

Born in 1982, Yoo Seok-hoon graduated from Yonsei University and earned an MBA from Columbia University in the United States. He has worked at Yujin Asset Management and global management consulting firm A.T. Kearney. He joined Yujin Enterprise as a manager in 2014. Yoo Seok-hoon is known to be a middle school classmate of Jung Ki-sun, president of HD Hyundai.

Meanwhile, interest in Yujin Group surged after it was announced as the acquirer of YTN the previous day. Around 4 p.m., following the announcement, the websites of Yujin Group and its major affiliates became inaccessible due to an overload of visitors exceeding the daily data allowance, resulting in site blockage.

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