Kim Bom-seok steps down from Coupang board

Coupang board chair Kang Han-seung, left, its head of product development division Chun Joon-hee, center, and Yoo In-jong, who manages the company's safety management division are seen in this photo, Thursday. Chun and Yoon are named as Coupang's new board members. Korea Times file

By Kim Yoo-chul

Kim Bom-seok, founder of Coupang, decided to step down from the board of the company in order to spend more time on developing its business overseas, the company said, Thursday.

“Coupang Board Chair Kim Bom-seok stepped down from the board. The decision reflects his desire to dedicate more time to help the company find greater opportunities for overseas business,” a company official said.

The departure means Kim will no longer be involved in the company's Korea-centric business. Coupang said despite Kim's absence from his daily role in managing the Korean business, the founder will retain his CEO and board titles at Coupang Inc., which owns 100 percent of Coupang.

Chun Joon-hee, head of Coupang's product development division, and Yoo In-jong, who manages the company's safety management division, were named as the new board members. Kang Han-seung was named as Kim's replacement.

The change in the founder's position came after Coupang's stock price on the New York Stock Exchange plunged around 35 percent from an all-time high of $69 and was trading at about $40 per ordinary share after a surge following the initial public offering (IPO) earlier this year. At the time some Wall Street investors were asking Coupang to widen its business portfolio.

Coupang is referred to as the Amazon of South Korea, due to similarities in their core businesses.

Analysts said Kim's departure from his previous role in the Korean market will help him explore opportunities on how to reinvest the company's cash in international markets, considering Coupang's latest decision to set up its affiliates in Japan and Singapore as part of its long-term commitment to build a differentiated, technology-orchestrated infrastructure.

Coupang is on track to strengthen its presence in Southeast Asia through Rocket Wow membership (expedited delivery for members), Rocket Fresh (grocery delivery), Coupang Eats (food delivery), and Coupang Pay (digital financial services). One of the top concerns facing Coupang is the intensifying competition in the Korean e-commerce market.