South Korea’s LG says to separate affiliates into new conglomerate

SEOUL: South Korea’s LG Corp said on Thursday it would spin off five affiliates into a new holding company next year, the latest reorganisation at one of South Korea’s family-led conglomerates as they pass to a new generation of leaders.

Analysts expect the new holding firm, to be headed by Koo Bon-joon, a son of LG’s founder, will eventually be separated from LG Corp.

LG Corp is led by Koo Bon-joon’s nephew Koo Kwang-mo, who took over as LG Group chairman in 2018 after his father died.