Nexon Family Pays Over 5 Trillion Won in Inheritance Tax... "Prioritizing Management Stability"

2 Years and 6 Months Since the Passing of Late Founder Kim Jeong-ju

The family of Yoo Jung-hyun, chairman of NXC and head of the Nexon Group, has fully paid the inheritance tax. This comes about two and a half years after the passing of the late founder Kim Jung-ju.

An NXC official stated on the 3rd, "We have been informed that the inheritance tax payment process has been completed through treasury stock acquisition transactions and WiseKids fund lending."

Regarding the reason for the early payment of the inheritance tax, the official explained, "It was the decision of the inheriting family prioritizing the stability of group management."

Earlier, on the 19th of last month, NXC disclosed that it acquired 61,746 shares (KRW 320.338 billion) from Chairman Yoo’s stake, and 31,771 shares (KRW 164.828 billion) each from his children Kim Jung-min and Jung Yoon as treasury stock.

On the same day, the two children participated in a KRW 320 billion rights offering by WiseKids, a company where they are major shareholders, and Chairman Yoo lent the same amount to WiseKids at an interest rate of 4.6% on the 31st of last month.

The Yoo family paid approximately KRW 4.7 trillion in inheritance tax to the government in May last year through stock payment of NXC shares following the death of founder Kim Jung-ju in February 2022. The Korea Asset Management Corporation (KAMCO) was selected as the entrusted institution for the disposal of the stock paid in lieu of cash.

Industry insiders expect the total inheritance tax amount to exceed KRW 5.34 trillion. This includes the amount of shares paid in lieu of cash last year plus the funds raised by Chairman Yoo through share sales and fund lending.