Korea’s antitrust watchdog said Tuesday it has placed five more companies on a watch list that limits mutual investments and loan guarantees.
The Fair Trade Commission said the number of corporate affiliates on its list stood at 1,605 from 55 business groups as of Saturday, compared with 1,600 last month.
Thirteen companies were added to the list as Samsung, SK and six other business groups increased their affiliates through stake purchases or business openings. Eight firms were removed from the list because of mergers or sale of stakes, the watchdog noted.
Under South Korea’s fair trade law, affiliates of large business groups with assets of 5 trillion won ($4.16 billion) or more are restricted from making equity investments or offering loan guarantees in one another.
The rule is aimed at preventing the distortion of conglomerate governance structures. (Yonhap News)
