"Regretful and Sorry"... Gu Ji-eun Leaving Ourhome, Will the Sale Accelerate?

Ku Ji-eun, Vice Chairman of Ourhome, who stepped down from management rights in the so-called 'Sibling Conflict,' expressed her farewell by saying, "I am grateful and sorry to all employees." Ourhome, which has newly organized its board of directors, is expected to speed up the formation of a new team to elect a new CEO soon and explore future operational plans, including the sale of the company.

In her farewell message posted on the company bulletin board on the 17th, Vice Chairman Ku said, "I tried to continue the legacy of the previous chairman, especially in global business growth, but I could not reach sincere negotiations with shareholders who wanted the company to be sold upon my return to management," adding, "The current situation is bewildering and regrettable, and I am reflecting on my own shortcomings."

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Koo Ji-eun, Vice Chairman of Ourhome
Photo by Ourhome

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She noted, "Since taking office as CEO in June 2021, I have worked tirelessly to create a 'good company where anyone wants to work,'" and "In this process, we overcame the company's first-ever deficit within a year, and last year achieved the highest performance ever." She added, "I know well that these achievements were possible because all employees fulfilled their duties in their respective positions," and "I am grateful and sorry to all employees who have worked tirelessly to recover and normalize Ourhome after the past five years of halted growth."

Vice Chairman Ku also said, "The moment we turned a profit and were able to pay bonuses was the happiest time for me as CEO and will remain forever memorable," emphasizing, "Although the changed situation and environment may feel somewhat unfamiliar and uncomfortable, I believe there will be no major concerns if everyone continues to work as they have so far."

She conveyed, "I intend to keep the promise I made at the time of taking office to sufficiently reward the efforts and achievements of hardworking employees until the end," and "I will announce this year's promotion candidates, which were delayed due to the extraordinary shareholders' meeting, complete a new competitive incentive system, and conclude my term."

Ourhome is a company where the late Chairman Ku Jahak's one son and three daughters hold more than 98% of the shares. The four siblings' shareholdings are as follows: eldest son and former Vice Chairman Ku Bonseong 38.56%, eldest daughter Ku Mihyun 19.28%, second daughter Ku Myeongjin 19.60%, and Vice Chairman Ku Ji-eun 20.67%.

The siblings have been in conflict over management rights for more than seven years since 2017. At the regular shareholders' meeting held last April, Ku Mihyun and her husband Lee Young-yeol were appointed as new inside directors, and at last month's extraordinary shareholders' meeting, the proposal by the Ku Bonseong faction to appoint his son Ku Jaemo as an inside director was approved. Vice Chairman Ku failed to be reappointed as an inside director and will leave the company three years after becoming CEO in 2021.

Since Ku Mihyun has already announced her intention to become the new CEO, the industry expects her to take the CEO position. There are also forecasts that the factions of former Vice Chairman Ku and Ku Mihyun, who united at this shareholders' meeting, will move toward selling the company. An industry insider observed, "Although the board meeting to appoint a new CEO of Ourhome has not yet been held, given Vice Chairman Ku's resignation message, it seems that the siblings have reached some level of agreement."

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