First One-on-One Meeting Between Kolmar Group Chairman Yoon Donghan and Eldest Son, Vice Chairman Yoon Sanghyun
Industry Watches for a Possible Turning Point in Management Dispute
The father and son of Kolmar Group held a one-on-one meeting for the first time since their management rights dispute began. Industry observers are paying close attention to whether this meeting will mark a turning point in the conflict.
According to Kolmar BNH on August 18, Kolmar Group Chairman Yoon Donghan met with Kolmar Holdings Vice Chairman Yoon Sanghyun at a location in Seoul on August 12.
Previously, Kolmar Group had been at odds over management control. The conflict began in April when Kolmar Holdings demanded a board restructuring at its subsidiary Kolmar BNH, citing poor performance. In May, Vice Chairman Yoon filed a petition with the court to convene an extraordinary shareholders' meeting to appoint two additional inside directors to Kolmar BNH. In response, CEO Yoon Yeowon has argued that such actions violate the management agreement signed in 2018 and undermine the group's management structure.
According to CEO Yoon Yeowon's side, the management agreement signed in 2018 stipulates that the business management rights of Kolmar BNH, which operates in the health functional food sector, are granted to CEO Yoon Yeowon. It also states that Vice Chairman Yoon Sanghyun, as a shareholder and executive of Kolmar Holdings, is to provide support and cooperation to CEO Yoon Yeowon within the legal scope of the authority granted. The agreement was reportedly co-signed by Chairman Yoon Donghan, his two children, and the heads of Kolmar Holdings and major affiliates.
It is understood that the recent one-on-one meeting did not include discussions on withdrawing lawsuits or future management policies. In addition, with legal disputes such as lawsuits still ongoing, it appears that it will take some time before the conflict is fully resolved.
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