The inheritance procedure for shares following the passing of the late Cho Seok-rae, Honorary Chairman of the Hyosung Group, has been virtually concluded.
According to the Financial Supervisory Service's electronic disclosure system on the 30th, the shares of Hyosung held by Cho Hyun-joon, the eldest son of Chairman Cho, increased from 22.59% to 33.03%, and his shares in Hyosung TNC rose from 14.59% to 20.32%.
Cho Hyun-joon's shares in Hyosung Heavy Industries (5.84% → 14.89%) and Hyosung Chemical (7.37% → 12.40%) also increased, reflecting the inherited shares from the late chairman.
The shareholding ratio of Cho Hyun-sang, the third son and Vice Chairman of Hyosung (appointed CEO of HS Hyosung), in Hyosung Advanced Materials also increased from 12.21% to 22.53% following the inheritance.
This reflects the inheritance of shares in Hyosung Group affiliates that the late Chairman Cho held during his lifetime, who passed away on March 29.
The shares held by Chairman Cho in Hyosung Group affiliates were 10.14% in Hyosung, 10.55% in Hyosung Heavy Industries, 10.32% in Hyosung Advanced Materials, and 9.09% in Hyosung TNC.
This share inheritance is evaluated as having laid the foundation for establishing independent management systems for each affiliate according to the future direction of the Hyosung Group.
Hyosung is currently pursuing a plan to split the company by spin-off into the existing holding company Hyosung and the newly established holding company HS Hyosung on July 1, to secure management stability and foster future growth engines for the group.
Once the split is completed, Chairman Cho Hyun-joon will oversee the existing holding company Hyosung and its affiliates Hyosung TNC, Hyosung Heavy Industries, and Hyosung Chemical, while Vice Chairman Cho Hyun-sang will lead the newly established holding company HS Hyosung and Hyosung Advanced Materials. However, it appears that the inheritance of shares by the second son, former Vice President Cho Hyun-moon, has not yet been completed.
Hyosung explained that since former Vice President Cho has not yet decided on his stance regarding the inheritance, the relevant inherited shares were recorded as belonging to the late Chairman Cho in this disclosure.
Previously, Chairman Cho had drafted a will last year in the presence of a lawyer from a major law firm, requesting, "No matter what happens, please ensure the brotherly affection among siblings is preserved," and reportedly instructed that former Vice President Cho bequeath assets exceeding the statutory reserved portion, including shares in major affiliates.
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