Merger of Three Unlisted Celltrion Companies... Signal for Corporate Governance Restructuring

Incheon Songdo Celltrion Plant 2 Overview. / Incheon - Photo by Hyunmin Kim kimhyun81@

[Asia Economy Reporter Lee Gwan-joo] The restructuring of the governance structure is becoming visible as three unlisted companies within the Celltrion Group?Celltrion Holdings, Celltrion Healthcare Holdings, and Celltrion Skincure?merge.

On the 16th, Celltrion Holdings, Celltrion Healthcare Holdings, and Celltrion Skincure held a shareholders' meeting and approved the merger plan of the three companies. Celltrion Holdings is the holding company of Celltrion, and Celltrion Healthcare Holdings is the holding company of Celltrion Healthcare. Celltrion Skincure is a subsidiary of Celltrion's cosmetics and health functional foods business. They plan to complete the merger by November 1.

Once this merger is completed, the governance structure of the Celltrion Group will be unified into a single holding company. Through this, Celltrion Holdings aims to create synergy and cost-saving effects to enhance corporate value. Additionally, based on the unified holding company system and stable financial soundness, the Celltrion Group plans to invest in future new businesses.

This merger is analyzed as a signal for the merger of the so-called "Celltrion 3 brothers," the three listed companies (Celltrion, Celltrion Healthcare, and Celltrion Pharm). In September last year, the Celltrion Group established Celltrion Healthcare Holdings. Subsequently, they disclosed plans to merge it with Celltrion Holdings and then proceed with the merger of the three listed companies.