Dongwon Group's holding company, Dongwon Industries, announced on the 4th that it has completed the process of incorporating Dongwon F&B as a wholly-owned subsidiary through a comprehensive stock exchange.

In April, Dongwon Group announced a stock exchange between Dongwon Industries and Dongwon F&B as part of its efforts to expand exports and restructure its business. Over the following four months, the company completed a series of procedures, including board resolutions and shareholders' meetings, and delisted Dongwon F&B on July 31, while issuing new shares for Dongwon Industries. The additional shares to be listed amount to 4,523,902 shares, representing 10.25% of the total shares (44,147,968 shares in total).

Dongwon Group emphasized that the capital market's response to the incorporation of Dongwon F&B as a wholly-owned subsidiary has been positive. The average daily trading volume of shares increased approximately 2.5 times compared to before the announcement of the subsidiary incorporation. Dongwon Industries' stock price rose by about 30% from KRW 35,205 to KRW 45,965 (with the closing price on August 4 at KRW 45,850). A Dongwon Group representative explained, “The efforts to enhance corporate value, such as resolving duplicate listings and strengthening shareholder returns through semi-annual dividends, have been recognized by the capital market.”
Dongwon Group reported that it is accelerating collaboration, exports, and pilot projects among its food subsidiaries centered around Dongwon F&B. Recently, it announced plans to launch a 'Global Food Division (GFD)' encompassing four domestic and international food companies, presenting a future blueprint. As the first step, it will concentrate the R&D and production capabilities of Dongwon F&B and Dongwon Home Food. Related pilot projects are also being developed. These pilot projects involve selecting items with high potential for overseas market entry, operating them on a trial basis, and then improving and supplementing them based on local responses and performance for full-scale expansion. The goal is to build an optimized product portfolio for the global market by minimizing risks and enhancing execution. As part of this effort, the group plans to accelerate its global pet food business. According to Dongwon Group, its pet food brand NutriPlan continues to grow beyond Korea into the United States and Japan. In response, Dongwon F&B is pursuing the establishment of a new production line overseas that is three times the size of its domestic operations. The Starkist production base in American Samoa is being considered as a strong candidate for the expansion of a pet food dedicated production line, according to a Dongwon Group representative. Additionally, Starkist plans to develop locally specialized linked products through joint marketing with Dongwon F&B, Dongwon Home Food, and others.

Preparations are also underway for the global expansion of the Dongwon Tuna business. Dongwon F&B has selected Jin from the world-renowned idol group BTS as the model for the Dongwon Tuna brand and has launched a limited edition product, the 'BTS Jin Edition.' Dongwon Group emphasized that this is expected to signal the expansion of Dongwon Tuna's exports to the global market. Dongwon F&B plans to export the BTS Jin Edition to the United States, Oceania, and Southeast Asia starting this month. Yangban, which began with seasoned seaweed and has evolved into a 40-year-old traditional Korean home meal replacement (HMR) brand, is set to pioneer the global market with a focus on tteokbokki, seasoned seaweed, and convenience foods. Yangban Tteokbokki, launched in 2016 and exported to over 30 countries, successfully entered major distribution channels such as Walmart in the United States and Costco in Japan in the first half of this year. Export volumes are reportedly increasing significantly. Dongwon Group plans to cultivate the 'Yangban' brand as a representative K-food brand.

The group is also strengthening its presence in the probiotics sector. The probiotic drink 'Take Alive,' which sold 13 million units annually in Japan, is set to be exported to China following its success in Taiwan. With growing popularity in neighboring countries, domestic consumer interest is also on the rise. The long-standing popular beverage product Coolpis is also being exported. Dongwon Home Food's low-sugar, low-calorie sauce brand Vivid Kitchen is accelerating exports to the United States, Australia, Vietnam, and Hong Kong, led by products such as 'Kimchi Chipotle Mayo,' 'Kimchi Pesto Sauce,' and 'Korean Ssamjang BBQ Sauce.'

A Dongwon Group representative stated, “Through business restructuring, we are consolidating the group's core capabilities and laying the foundation for significant growth in global business expansion,” adding, “We plan to continue focusing on enhancing shareholder value and sustainable corporate activities.”

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