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(Photo= Yonhap news) |
[Alpha Biz= Reporter Kim Jisun] Sampyo Concrete Faces Government Sanctions for Improper Support to Heir’s Company
Sampyo Concrete, a prominent player in the concrete manufacturing industry, is set to face government sanctions due to allegations of unfairly supporting a company controlled by the founder's son.
The Fair Trade Commission (FTC) has announced that Sampyo Industries provided unfair support to its subsidiary, SP Nature, by purchasing raw materials at inflated prices. This action is said to have unfairly benefited SP Nature, which specializes in supplying powdered substances used in concrete production and holds the largest market share in South Korea.
The FTC has decided to impose corrective measures and a provisional fine of 11.62 billion won (approximately $8.7 million) on Sampyo Industries. Additionally, the FTC will file charges against Sampyo Industries for these actions.
Sampyo is a major business group with a primary focus on construction materials, including concrete production. As of 2024, the group has total assets of 5.2 trillion won and comprises 33 affiliated companies.
Sampyo Industries is a key subsidiary within the Sampyo Group. SP Nature, a leading supplier of concrete powders, is controlled by Jeong Dae-hyun, the founder's son, who holds a 71.95% stake in the company. The FTC's investigation revealed that Sampyo planned to support SP Nature unfairly to make it the parent company of the Sampyo Group, with Jeong Dae-hyun as the largest shareholder.
Alphabiz Reporter Kim Jisun(stockmk2020@alphabiz.co.kr)
