Conglomerate-affiliated firms decline amid portfolio restructuring: FTC

Office buildings in southern Seoul / gettyimagesbank

The antitrust regulator said Friday that the number of conglomerate-affiliated companies fell slightly from three months earlier, amid industrywide portfolio restructuring efforts.

The country's 102 conglomerates held 3,534 affiliates as of Aug. 3, down by four from 3,538 tallied three months earlier, according to the Fair Trade Commission (FTC).

Over the period, 79 companies were removed from the list due to mergers, separations and other rearrangements, while 75 were newly added.

SK Group cut seven companies under its wing, with DB removing 11 firms and Hyosung dropping six.

Hyosung, meanwhile, also added 11 companies, while GS Group gained nine new affiliates.

The FTC said large business groups have conducted portfolio restructuring to seek new business opportunities amid a transition in the overall industrial landscape.

Under Korean law, conglomerates with assets of 5 trillion won ($3.82 billion) or higher are obligated to disclose the status of their businesses, along with details of large-scale internal trade.