Shinsegae Group appoints new sibling presidents, separates struggling group companies and makes management cuts (Korea)

Shinsegae Group has announced its personnel changes for 2025. As a result, CEO Chung Yu-kyung has been promoted to chairman. Together with his brother, Chairman Chung Young Ji-in, they will become sibling chairpersons.
A source close to the group explained the personnel changes as "establishing the foundation for separating the group companies."
The group has a growing department store division and an E-Mart supermarket division that needs to improve profitability.
While focusing on its successful divisions, the company has decided that 2024 would be the right time to separate its group companies into separate legal entities.
Since splitting off E-Mart in 2011, the group has been working internally to separate its group companies.
A comprehensive reorganization is expected to take place to completely separate the two companies legally and organizationally. The siblings' mother, Chairman Lee Myung-hee, will be taking over the stakes in E-Mart and Shinsegae Department Stores.
The remaining 10% of the shares will be donated to the siblings equally. A source from the business world said, "Chairman Jung Young Ji-in will be pushing for reforms in the E-Mart division, which will post its first loss in 2023.
"In the department store division, we expect to further strengthen our diversification strategy to reduce our reliance on luxury brands while increasing our competitiveness."