[Korea sinmijin financial newspaper reporter] Lotte Group, the company embarked on a split core subsidiaries in the countdown, the holding company transition. Reducing the circular investment rings are expected to create a governance structure around the Lotte Hotel.
According to the 21st Lotte industry, there is a possibility that heat being considered the Board of Directors for Lotte Confectionery and Lotte Chilsung, as early as the food and distribution subsidiary of the Lotte Group, Lotte food indwelling division, to discuss the merger scheme.
Lotte Group plans to integrate sikindaneun Investment Company split one back through the divestiture of the four companies as an investment company and operating company launched the "intermediate holding company.
For the partitioning scheme has observed the industry eotgalrigo. The parent company has been discussed with the spin-off distribution of the spin-off and stock of the new corporation that owns 100% of the new entity in the same proportion to the parent company shareholders.
Last plan for the transition to a holding company system, including the split, merge, split, merge, etc. to the "cross-shareholding eliminated and Governance on March 19 Lotte Shopping, Lotte Confectionery and Lotte Chilsung, Lotte Food Financial Supervisory Service the review was to "have published the information at the same time.
Lotte Group Chairman Shin Dongbin has a bar promise to eliminate cross-shareholding and holding company regime change through reforms after the prosecution last October.
If the Lotte Holdings (tentative name), a merger launched an investment company Lotte Group governance becomes short as "Lotte Hotel → Lotte Holdings (tentative name) → affiliates' form. Lotte Hotel has a stake in the current Lotte Shopping (8.8%), Lotte Confectionery (3.2%), Lotte food (8.9%), Lotte Chilsung (5.9%).
Lotte Group currently has a domestic Most of the 67 cross-shareholding ring. Among Lotte Shopping and Lotte Confectionery is associated circular investment rings at the same time, about 50 fold. When the merged investment firm has launched cross-shareholding ring is reduced 17 dogs can be a "transparent management" power of Lotte Chairman Shin Dongbin.
Lotte Group said, "because they are not yet officially designated certain specific matters can not give confirmation," while "holding company operations, as announced earlier this year by the disclosure is continuing," he said.
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