Lim Juhyun "Full Payment of Inheritance Tax Possible Through Integration... Curious How Siblings Will Arrange It"

'D-3' HanmiScience Shareholders Meeting
Mother-Daughter Side Refutes Brothers' Claims Using 'Inheritance Tax' Issue
Normal Management Difficult Without Resolving Inheritance Tax Problem
Demands 'Concrete Alternatives and Funding Sources' from Brothers

"I understand that Chairman Im Jong-yoon's shares are heavily collateralized. I would like to ask in reverse how he plans to prepare for the inheritance tax without selling any shares for three years." (Im Joo-hyun, President of Hanmi Science)

Lim Juhyun, President of Hanmi Science, is speaking at a press conference held on the 25th at Hanmi Tower in Songpa-gu, Seoul. Photo by Jo Yongjun jun21@

As the regular shareholders' meeting, which will be a turning point for the integration of Hanmi Pharmaceutical Group and OCI Group, approaches in three days, tensions are rising between the mother-daughter side of the Hanmi Pharmaceutical Group owners, Song Young-sook and Im Joo-hyun, and the brothers Im Jong-yoon and Jong-hoon. On the 25th, the mother-daughter side held a press conference and stated that a rigorous verification of the claims made by the brothers' side to consolidate votes is necessary.

At the press conference held at Hanmi Pharmaceutical headquarters in Songpa-gu that day, Im Joo-hyun, President of Hanmi Science, focused on emphasizing the difference in plans for securing funds to resolve the inheritance tax issue. President Im expressed confidence that this integration could resolve the inheritance tax problem all at once. He stated, "We have completed a review that the funds obtained through the sale of old shares can be used to pay the inheritance tax," and emphasized, "If this transaction proceeds well, the inheritance tax issue will no longer exist, and the overhang issue will also be eliminated." Overhang refers to a situation where a large volume of shares waiting to be sold at an unknown time limits the rise in stock prices.

After the sudden passing of founder Im Sung-gi in 2020, the Hanmi Pharmaceutical Group owners were imposed with approximately 540 billion KRW in inheritance tax as a result of share inheritance. Although half of this amount was paid by last year, they have struggled to secure sufficient funds to fully resolve the issue and have repeatedly attempted to raise funds through share sales, all of which have failed. President Im explained that during the integration process of the two groups, the sale price of about 7.74 million Hanmi Science shares sold by Chairman Song and President Im's two children to OCI Holdings amounts to 277.5 billion KRW, which can be used to resolve the inheritance tax issue at once.

On the other hand, President Im sharply questioned the brothers' side, saying, "I am also curious about how they plan to secure funds for the inheritance tax." Under current law, inheritance tax is subject to joint and several liability. Therefore, the authorities can demand full or partial payment of the inheritance tax from any heir. Even if the mother-daughter side fully pays the inheritance tax corresponding to their inherited shares, if the brothers' side does not pay their inheritance tax, the authorities can seize or take other delinquency measures against the mother-daughter side's Hanmi Science shares.

This is why President Im, in a statement the previous day, demanded that Chairman Im Jong-yoon of the Kori Group "immediately repay the 26.6 billion KRW loan given without collateral" if he intends to "hide behind the shield of joint liability for inheritance tax and shift the burden to his mother and other siblings." At the press conference that day, President Im also stated, "I have filed a lawsuit (to claim the loan repayment)," showing his determination not to back down.

Regarding Chairman Im's emphasis that he has "no intention of selling shares," President Im countered, "I would like to ask in reverse how he plans to prepare for the inheritance tax without selling shares for three years." He also stressed, "I understand that Chairman Im Jong-yoon's shares are heavily collateralized." Of the approximately 19.88 million shares held by the brothers as of the 19th, 93%, or 18.54 million shares, are tied up in loans such as collateral loans and repurchase agreements. Despite struggling with financial difficulties, they have yet to present a concrete plan to overcome the inheritance tax issue, and thus President Im demanded an explanation.

Regarding Shin Dong-guk, Chairman of Hanyang Precision, declaring support for the brothers' side and the mother-daughter side being at a disadvantage in this week's shareholders' meeting, President Im expressed his commitment to doing his best. He said, "We will do our utmost in the remaining two days to show that this decision is not a wrong one," and explained, "We are continuously communicating our position through proper channels, including the National Pension Service."

Lee Woo-hyun, Chairman of OCI Holdings (left), is speaking at a press conference held on the 25th at Hanmi Tower in Songpa-gu, Seoul. On the right is Lim Joo-hyun, President of Hanmi Science. Photo by Jo Yong-jun jun21@

Meanwhile, OCI Group Chairman Lee Woo-hyun, the counterpart in the integration, also attended the press conference to lend support. Regarding the "three-year lock-up of Hanmi Science shares after integration" proposed by President Im, Chairman Lee said, "We are not going to sell them anyway," and expressed his willingness to accept it naturally, saying, "We will voluntarily deposit the shares."

Chairman Lee emphasized that this level of investment is necessary to timely support many projects underway at Hanmi and stated, "We decided to invest with the intention of helping Hanmi," positioning OCI as an ally of Hanmi Pharmaceutical Group through this integration.

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