Holding company average total assets of 2.383 trillion won… Average debt ratio 32.7%

The average total assets of all holding companies in Korea were 2.38 trillion won and the average debt ratio was 32.7%. In addition, the number of holding companies belonging to large corporations increased by 50% from 32 to 48 in 10 years.

According to the analysis of the current status of holding companies under the 2022 Fair Trade Act, announced by the Fair Trade Commission on the 28th, the number of holding companies in December last year was 168, up from 164 in 2017.

Specifically, 16 holding companies were newly established and 12 were excluded. Among the new companies, six companies, including DL, LX Holdings, Doosan, Hyundai Genuine, Ecobit, and SCICE Square, are members of large companies.

The number of holding companies (small and medium-sized stocks) with a total assets of more than 100 billion won and less than 500 billion won was significantly decreased from 2017 (130, 67.0%), which raised asset requirements, while large holding companies belonging to large companies. It increased 17% from 41 to 48.

The number of companies belonging to the holding company was 2,274, an increase of 12.6% from 2,20 last year.

The average subsidiary of the holding company increased from 5.8 to 5.8, and the grandchildren increased from 6.2 to 6.9, and the growth-grandchildren increased from 0.7 to 0.8.

The number of holding companies belonging to the conversion group also increased from 10.3 to 11.4, and the number of grandchildren increased from 20.0 to 22.4, and the growth-grandchildren increased from 2.9 to 3.6.

The average stake in general and grandchildren was 71.7%(40.5%, unlisted 85.5%), and 81.2%(47.4%listed, 83.2%), respectively.

The average total assets of the holding company were 2.38 trillion won, and the average debt ratio was 32.7%. The cash and cash assets owned by the general holding company in the system totaled 65.84 trillion won (average 46.3 billion won), an increase of 19% from the previous year (55.349 billion won and average 395.3 billion won).

The holding company belonging to the conversion group has a total of 49.81 trillion won (average of 1.77 trillion won by group) within the system, which is an analysis that it is necessary to support the reserve funds to lead to active investment activities.

The FTC said that the demand for establishment and conversion of holding companies continues to exist. In addition, it is expected that the establishment of a corporate-led venture capital (CVC) of the general company is allowed to establish an active establishment movement.

On the other hand, it was difficult to see that the average debt ratio of holding companies and the average share of the grandchildren and grandchildren also exceeded the obligation to establish and operate the holding system.

The FTC plans to continue monitoring and improving the system so that it is not used for the expansion of the general family's dominance and private interests while maintaining the conditions to select a holding company structure.