LG chairman Koo wins custody battle, retains holding company control

LG Chairman Koo Kwang-mo won a first-instance court decision retaining his legal status as son of LG founder Koo Bon-moo, defeating his biological mother's adoption-nullification suit filed September 2024. The Seoul Family Court ruled that a 22-year legal relationship as adopted son supersedes biological claims after the founder's death in 2018.

The ruling eliminates the adoption-dissolution threat that had shadowed Koo's control of LG Corporation and its subsidiaries, LG Electronics and LG Energy Solution. A dissolution would have transferred voting rights to other founding family members and potentially triggered a contested succession process.

LG Corporation's market capitalisation was ₩17.9 trillion at Thursday's close, with LG Electronics adding another ₩272.9 trillion. First-half LG subsidiary profits totalled ₩3.2 trillion, driven by memory-chip margins and semiconductor demand.

The ruling clears a major overhang for LG as the company navigates competitive pressures in semiconductors, displays and batteries. Succession uncertainty would have constrained capital allocation and long-term strategy.

Sources

  1. Dailian
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