SEOUL, March 5 (Yonhap) — The companies that are scheduled to be split from LG Group may be named under the brand LX, people familiar with the matter said Friday, as they prepare for the departure from South Korea’s fourth-largest conglomerate with the group chief’s uncle.
LG Group filed a trademark application for the brand LX and its logo to the country’s intellectual property office this week, they said, with some 90 images that may represent the corporate identity of LG’s new holding company soon to be established.
In November, LG Group decided to set up another holding company by May this year to prepare for a spin-off of multiple affiliates.
Under the plan, the new holding firm will have LG International Corp., LG Hausys Ltd., LG MMA Corp. and Silicon Works Co. under its umbrella and will be managed by the board of directors led by Koo Bon-joon, an uncle of current LG Group Chairman Koo Kwang-mo and a younger brother of late LG Group chief Koo Bon-moo.
The move was considered an initial step for Bon-joon to establish his own business group.
LG, however, said nothing has been confirmed about the name of spin-off companies.
LG has a tradition in which the eldest son of the group chief inherits the management power of the conglomerate, while brothers of the chief create their own business groups with spin-off companies after the group leader’s death.
Local conglomerates, like LS Group, LIG Group and Heesung Group, were all founded under LG’s management tradition.