À̹ÌÁö È®´ë [Photo by Han Joo-hyung]
South Korea¡¯s Namyang Dairy Products Co. has been stepping up its reorganization efforts under a new ownership after its family owners handed over their stake to a local private equity fund (PEF).
The country¡¯s No.2 dairy producer appointed Kim Seung-un, former head of the strategic marketing team, to a newly-formed position of chief general manager in charge of spearheading three business teams for strategic marketing, sales and computer security. He has been promoted to a vice executive director.
The reorganization came three months after it held a regular personnel reshuffle in February. Last week, the company announced that its former chairman Hong Won-sik, his wife and grandson decided to sell their combined 53 percent stake to Hahn & Company for 310.7 billion won ($278 million) after suffering hit in sales and reputation following a false marketing claim that its yogurt products are effective in preventing Covid-19.
Although the company said the latest reshuffle has been made to strengthen independence of the company¡¯s core division and improve its corporate culture, its employees are worried that the company may soon carry out a large-scale restructuring under the ownership of a PEF after none of the new and old owners has clearly stated about a personnel restructuring plan in the deal.
Some even raised concerns that the family owners sold the shares with an intention of buying them back later because Hong¡¯s brother Hong Myung-sik still holds 3,208 shares or 0.45 percent stake in the company. They say the family members would not easily give up on the company that they have built and managed for several decades.
But experts dismissed the possibility because it was a so-called ¡®clean sale¡¯ where the owner family did not set any conditions when selling the shares. An expert say if the deal includes any preconditions such as a preferred stake purchase right, they must disclose at least some part of the content, but it was not included in their public announcement of the contract.
An official from the investment banking industry also said the deal took place because the owner purely wanted to give up the company due to the poor business fundamental from its tarnished brand image and consumer boycott.
By Kang Doo-soon, Kim Hyo-hye and Choi Mira
[¨Ï Pulse by Maeil Business Newspaper & mk.co.kr, All rights reserved]