Temporary Shareholders' Meeting of Ourhome Held on the 30th
Agenda Expected to Include Board Replacement
'Sibling Rivalry' Over Management Rights Likely to Conclude
Eldest Daughter Mihyeon Holds the 'Casting Vote'
[Asia Economy Reporter Song Seung-yoon] As the extraordinary general meeting of shareholders of Ourhome, convened by former Vice Chairman Gu Bon-seong, is held on the 30th, the sibling dispute over the management rights of Ourhome is expected to reach a conclusion.
Ourhome plans to hold the extraordinary general meeting on this day and address agenda items such as replacing the current board of directors. Earlier, the side of former Vice Chairman Gu requested the convening of the extraordinary general meeting, stating they would propose an agenda to dismiss 21 directors appointed by the three sisters Gu Mi-hyun, Gu Myung-jin, and Gu Ji-eun, and appoint 48 new directors. However, as Ourhome did not accept this, they requested permission from the Seoul Southern District Court to convene the extraordinary general meeting, which was granted.
Former Vice Chairman Gu was dismissed last June after losing the management rights dispute. At that time, among the three sisters who pushed out former Vice Chairman Gu, current Vice Chairman Gu Ji-eun was appointed as the sole CEO. Former Vice Chairman Gu holds 38.6% of Ourhome’s shares. The remaining 59.6% is the combined shares of the three sisters Gu Mi-hyun, Myung-jin, and Ji-eun. Former Vice Chairman Gu announced in February that he would sell all his shares and step away from management. However, he suddenly proceeded with a joint share sale with his eldest daughter Mi-hyun, which reignited the management rights dispute.
Regarding the convening of this extraordinary general meeting, industry insiders speculate that former Vice Chairman Gu is indirectly attempting to effectively return to management. Former Vice Chairman Gu explained that the request to convene the extraordinary general meeting was intended to form a neutral management team for the share sale, but Ourhome criticized it as a "baseless attempt to return to management." If former Vice Chairman Gu appoints a majority of directors favorable to him through this extraordinary general meeting, it is highly likely that the previously announced share sale will proceed as planned. Former Vice Chairman Gu plans to sell the management rights along with 58.62% of Ourhome shares, combining his own shares and those of Mi-hyun. However, since this requires the approval of two-thirds or more of the board, former Vice Chairman Gu must secure as many favorable directors as possible at this extraordinary general meeting.
Mi-hyun is expected to play a decisive role in this. The passage of the agenda is likely to depend on which side Mi-hyun takes during the agenda battle. If Mi-hyun does not intervene, it will be practically difficult for the agenda to pass, and the current Vice Chairman Gu Ji-eun’s regime is expected to continue. Since the late Gu Ja-hak, chairman of Ourhome, passed away last month, there is also a view that this could be an opportunity for former Vice Chairman Gu and the three sisters to unite their intentions for management stability and reach a dramatic reconciliation.
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