US-Korea 'Mother and Son Conflict' Mentioning 'Physical Clash'... 1R to Be Settled This Month

Prohibition on New Share Issuance Injunction 2nd Hearing
Brother's Side: "Chairman Song Took Control After Father's Passing"
Mother and Daughter's Side: "President Im Jong-yoon Focused Only on Kori Management"

Song Young-sook, Chairwoman of Hanmi Pharmaceutical Group, and Lim Joo-hyun, President of Hanmi Science, representing the mother-daughter side, and Lim Jong-yoon, President of Hanmi Pharmaceutical, and Lim Jong-hoon, CEO of Hanmi Precision Chemical, representing the siblings, who are sharply clashing over the issuance of new shares to OCI Holdings?a key link in the integration between Hanmi Pharmaceutical Group and OCI Group?have once again faced off in court. Both sides actively continued their confrontation, revealing previously undisclosed family stories.

Hanmi Pharm Headquarters View
[Photo by Hanmi Pharm]

On the afternoon of the 6th, the Civil Agreement Division 31 of Suwon District Court held the second hearing on the injunction case filed by the Lim brothers, Jong-yoon and Jong-hoon, against Hanmi Science to prohibit the issuance of new shares. Following the first hearing, both sides again clashed over the purpose and circumstances of the new share issuance. The direction of the injunction depends on whether the court recognizes the urgency of the management situation and the existence of a management rights dispute.

Law firms Jipyung and Gwangjang, representing the siblings, emphasized that it was clearly a management rights dispute, stating, "There was even physical confrontation." Regarding the exclusion of the siblings from management, they said it was done despite the siblings' opposition and questioned, "If they were excluded from management by a unilateral decision and there was even physical confrontation, can it be considered a peaceful state?"

Lim Jong-yoon, President of Hanmi Pharmaceutical / Photo by Moon Ho-nam munonam@

On the other hand, regarding Chairwoman Song, they mentioned, "While Lim Jong-yoon was working at Hanmi Science, Chairwoman Song asked to be called a writer herself," and added, "She only expressed a strong desire for management rights after Chairman Lim Sung-ki passed away." They also criticized the mother-daughter side for not explaining the integration decision to the siblings in advance and pointed out that Hanmi Science's related documents mention a "management rights dispute."

Law firm Hwawoo, representing the mother-daughter side, counterattacked, claiming that the siblings opposed the integration for personal gain. "Lim Jong-yoon ignored documents requiring his approval and focused solely on managing the Kori Group; there are even no employees who have seen his face," they said, adding, "In this case, too, they emphasize the management rights premium while ignoring the preparation of inheritance tax funds and only oppose without alternatives."

They also emphasized that the integration was not for the mother-daughter side's personal gain. "Establishing a stable governance structure by resolving inheritance tax issues aligns with the interests of Hanmi Science and all shareholders," they stated, asserting that it is for the overall benefit, not just the mother-daughter side. Furthermore, they explained, "Right after the board decision, Chairwoman Song visited President Lim Jong-hoon to explain the situation," and clarified that the "management rights dispute" mentioned in the documents referred to disputes caused by potential buyers when the siblings' shares were subject to forced sale.

Lim Juhyun, President of Hanmi Pharmaceutical [Photo by Hanmi Pharmaceutical Group]

The mother-daughter side also pointed out that the integration with OCI was not sudden. According to materials presented by the mother-daughter side, the connection with OCI began to be considered in December 2021. At that time, a meeting was arranged between Kim Nam-gyu, CEO of La D?fense Partners, who was exploring various options on behalf of Hanmi Science, and Lee Woo-hyun, Chairman of OCI Group.

Subsequently, cooperation with Samsung Biologics, Kumho Petrochemical, Soulbrain, and Kolmar Korea was considered, and a memorandum of understanding (MOU) draft was even prepared with Soulbrain. The possibility of raising funds through a "sale and leaseback" method of the Hanmi Science building was also explored, but all these plans fell through. During this process, OCI re-emerged as a strong candidate, and integration with OCI was pushed forward again from the end of last year.

The court concluded the hearing on this day and plans to receive additional materials by the 13th to make a decision. Since the regular shareholders' meeting of Hanmi Science is expected to be held in the last week of March, a decision is anticipated before then.

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