Power struggle reignites at Hanmi Group
A fierce leadership battle has again erupted within Hanmi Group, pitting the parent company's CEO against the subsidiary's leader.
The conflict began when Hanmi Pharm, led by CEO Park Jae-hyun, declared its intention to operate independently from its parent company, Hanmi Science, on Thursday. In response, Lim Jong-hoon, CEO of Hanmi Science, took the drastic step of demoting Park from his position as CEO to director.
Hanmi Pharm has denounced this move as an abuse of representative rights without proper procedure, insisting that the separation of management had been previously discussed with Lim.
However, Lim maintains that he had warned against any attempts to operate Hanmi Pharm independently.
"Hanmi Science strongly opposes the subsidiary's attempt to operate independently," Lim stated.
Lim further criticized Park's personnel decisions as invalid, arguing that they bypassed established processes and lacked board approval.
Lim also expressed concerns about external forces – the mother and daughter duo Chairwoman Song Young-sook and Vice Chairwoman Lim Ju-hyun and Hanyang Precision Chairman Shin Dong-guk -- attempting to undermine the group's culture and DNA by placing their allies in key positions.
"These individuals have been interfering with normal business operations and engaging in provocative actions, including forming third-party alliances and obstructing investment efforts," Lim said.
Hanmi Pharm hits back
Regarding Lim's comments, Hanmi Pharm contends that the separation of management was not a unilateral decision.
"Our CEO Park had direct consultation with Hanmi Science CEO Lim about this matter before the internal announcement," a company official said.
The company also defended the restructuring, arguing that it does not legally require the holding company's approval.
Hanmi further asserted that Lim's demotion of Park has no repercussions whatsoever and constitutes an abuse of authority as Park's position and authority remain unchanged.
This power struggle is set against the backdrop of a larger shareholder dispute. Notably, the board of Hanmi Science is currently composed of five members aligned with the brother duo -- Hanmi Science Director Lim Jong-yoon and Hanmi Science CEO Lim Jong-hoon -- and four members representing the mother and daughter duo -- Chairwoman Song Young-sook and Vice Chairwoman Lim Ju-hyun -- and Hanyang Precision Chairman Shin Dong-guk alliance. This composition adds another layer of complexity to the ongoing conflict.
The alliance, holding 48.19 percent of shares, plans to hold an extraordinary shareholders' meeting in October to appoint an additional director. If successful, this move could potentially tip the balance of power on the board, as the alliance's voting power could exceed 50 percent when including friendly shares.
Hanmi Pharm concluded by appealing to shareholders "We ask shareholders for their sincere support for Hanmi Pharm's professional management system as only when an independent affiliate creates high performance can the holding company grow together."