SEOUL, March 28 (UPI) — Hanjin Group Chairman Cho Won-tae beat his elder sister Cho Hyun-ah in a proxy war during the Friday shareholders’ meeting of Hanjin Kal, the group’s holding company.
A total of 56.56 percent of shareholders supported the reappointment of Cho Won-tae as an insider director of Hanjin Kal, while 43.27 percent voted against it.
Along the same lines, shareholders agreed to accept five external directors proposed by Cho Won-tae’s side and rejected four candidates suggested by Cho Hyun-ah’s side.
After former Chairman Cho Yang-ho died early last year, his only son took charge of Hanjin Group, which owns the country’s flagship carrier, Korean Air lines.
Late last year, however, Cho Hyun-ah formed a shareholder alliance to challenge the incumbent stewardship by joining hands with the Korea Corporate Governance Improvement and Bando Engineering & Construction.
In response, Cho Won-tae tried to keep its leadership by teaming up with other major shareholders, including Delta Air Lines, which has more than 10 percent stake in Hanjin Kal.
The National Pension Service had announced its supports for Cho Won-tae earlier in the week. The state-run outfit holds a 2.9-percent stake in Hanjin Kal.
Although Cho Won-tae defeated his sister this time around, the sibling rivalry is expected to continue as the three-way alliance keeps snapping up shares of Hanjin Kal.