The top three South Korean corporate household names - Samsung, Hyundai Motor and SK – comfortably kept to their rank except to add riches by more than $90 billion, while the bulk in the list of business conglomerates changed names over a decade.
According to the study of the list of 59 biggest conglomerates in Korea over the last decade by CEO Score, a Seoul-based business tracking site, only seven managed to maintain their rank for 10 years.
The six top names - Samsung, Hyundai Motor, SK, LG, Lotte, Posco – were the same as in 2010.
Daelim also is expected to keep its position on the 19th as 10 years ago. But the rest has gone under reshuffling.
The ranking for this year was estimated based on combined assets held by each business group as of Sept 30, 2019. It also reflects mergers and acquisitions.
Samsung, Hyundai Motor, SK, the three largest of all, not only remained as the top three from ten years ago but also saw their assets expand by more than 100 trillion won ($86.2 billion) over the past decade.
Hanwha and Nonghyup would newly make the top 10 this year while Kumho Asiana, Hanjin and DB would be kicked out.
Hawha Group had more than doubled its asset to 69.2 trillion won from 26.4 trillion won a decade ago and is expected to climb up 5 notches to the eighth in the ranking this year. Nonghyup whose business was separated under two holding entities of financing and non-financing in 2012 is expected to become 10th largest business group this year.
Kumho Asiana Group, transportation conglomerate, is forecast to slip to 59th this year from No. 9 ranked 10 years ago. CEO Score projected the group would even be removed from the Fair Trade Commission’s list of large business group this year as its assets would shrivel to around 3 trillion won after selling its key subsidiary Asiana Airlines.
Hanjin Group, another transportation giant with the country’s largest full-service carrier Korean Air Lines under its arm, is estimated to have moved down three notches to rank 13th this year.
Hyundai Heavy Industries that put the country’s second largest shipbuilder Daewoo Shipbuilding & Marine Engineering under its arm last year will likely move up to No. 7 from the eighth in 2010. Its assets are estimated at 75.5 trillion won this year following the merger.
A total of 24 business groups are newly designated as a large conglomerate, which is subject to stricter antitrust scrutiny from authorities, over the past decade. They include financial conglomerate Nonghyup, livestock and animal feed company Harim Group, and internet giant Kakao.
[ⓒ Pulse by Maeil Business Newspaper & mk.co.kr, All rights reserved]