KG Group has unveiled a mid- to long-term strategy focused on enhancing corporate value and driving future growth. The group plans to significantly expand shareholder returns for its listed affiliates, while pursuing the establishment of an integrated mobility ecosystem that connects manufacturing, distribution, and finance based on the acquisition of K Car.

On the 9th, KG Group held a press conference on the normalization of corporate value and future strategy at the T-Art Hall in the Taeyoung Building in Yeouido, Seoul, and announced a group-wide value-up plan. The event was attended by Chairman Kwak Jae-sun, as well as CEOs and CFOs of major affiliates and participating directors.

KG Group first stated that it will increase the total shareholder return ratio to 50% over the next five years, focusing on its listed affiliates. It plans to strengthen its preemptive dividend policy and the use of treasury shares, and to enhance shareholder value through sound management centered on profitability and cash flow.

The core of the future growth strategy is the expansion of the mobility business through the acquisition of K Car. By combining KG Mobility’s finished vehicle manufacturing capabilities, K Car’s used car distribution network, and the payment and financial services of KG Inicis and KG Financial, the group aims to build an integrated mobility value chain that covers everything from new car sales and used car transactions to finance and payments.

The group also presented growth strategies for each affiliate. KG Mobility plans to launch seven eco-friendly SUVs, including electric vehicles (EVs), hybrids (HEVs), and plug-in hybrids (PHEVs), by 2030, and has set targets of annual sales of 200,000 units, revenue of KRW 10 trillion, and an operating margin of 5%.

KG Steel will pursue the establishment of a smart factory applying generative AI and agentic AI by 2029. KG Chemical will strengthen its energy logistics business by expanding investment in tank terminals, while KG Eco Solution will target average annual growth of more than 40% centered on its eco-friendly marine fuel business.

KG Inicis will foster new businesses such as cross-border e-commerce payments for Japanese purchases and digital currencies, and KG Financial will nurture its B2B early payment (invoice factoring) business as a future growth engine, with a goal of reaching a transaction volume of KRW 1 trillion by 2028.

“Ultimately, corporate value is evaluated based on performance and communication with shareholders,” said KG Group Chairman Kwak Jae-sun. “We will address the market’s undervaluation through execution-oriented management that enhances intrinsic value beyond mere expansion in scale.”

Popular News