Published : Feb. 1, 2021 - 10:06
South Korean companies (Yonhap)
The number of South Korean companies affiliated with large business groups under tight supervision rose by 44 over the past three months mainly because conglomerates expanded their eco-friendly energy business, data showed Monday.
The total number of affiliates on the Korea Fair Trade Commission's (KFTC) list reached 2,369 as of the end of January, compared with 2,325 three months earlier, according to the antitrust regulator.
Major business groups newly launched or acquired 97 new units, while offloading 52 others from affiliate lists, in the three-month period ending on Jan. 31.
The rise in the tally came as larger business groups expanded their eco-friendly energy business in line with the county's Green New Deal initiative and carried out spinoffs to enhance their competitive edge, according to the watchdog.
Under South Korean fair trade law, affiliates of large conglomerates with assets exceeding 10 trillion won ($8.9 billion) are restricted from making equity investments in their affiliated companies or offering loan guarantees to each other.
The conglomerates are also required to make public filings on their non-listed affiliates and are barred from engaging in excessive trading among affiliates. (Yonhap)