President Myung No-hyun of LS Cable                    President Kim Yeon-soo of LSMtron

President Chon Seong-bok of YESCO               Senior Executive Vice President and CEO Kim Won-il of LS Metal

(left) Senior Executive Vice President Ahn Won-hyung of LS Public Relations Division   / Senior Executive Vice President Koo Bon-hyuk of LS Nikko Copper Refinery

LS Group looked to management stability instead of generational rollover in its personnel move announced on Nov. 28, giving more power to CEOs of its major affiliates and boosting the number of directors and managing directors. Also standing out in the personnel move was promotions for a number of 3rd generation owner family members.

After its board meeting to determine 2018 Personnel Moves for Executives, the group announced the promotions of two CEOs, three vice presidents, three managing directors, 13 directors and 18 new directors, while current CEOs of the affiliates remained unchanged.

Officials of the group said the personnel move was smaller than last year, but CEOs of all major affiliates were retained to stabilize the operation of the group and infuse new energy into the affiliates so they can make significant achievements as they navigate tough challenges such as China’s THAAD retaliation and the U.S. bid to renegotiate the Korea-U.S. FTA.

Vice President Myung No-hyun, who is the rep. director for LS Cable and CEO, has been promoted to president in recognition of his achievements in expanding the company’s global operation and enhancing its competitive power.

Vice President Kim Yeon-soo, the rep. director and CEO for LS Mtron, has also been named president in recognition of his achievements in boosting the company’s sales and operating profit by his appropriate timing of introducing new and higher quality products to the market.

Managing Director Chon Seong-bok was promoted to vice president while vice president (CFO) Kim Won-il of LS Automotive has been transferred to LS Metal promoted to vice president and CEO.

Managing Directors Lim Won-hyun of LS, and Koo Bon-hyuk of LS Nikko Copper Refinery, both got promotions to vice president. VP Koo is the eldest son of Koo Ja-myung, late chairman of LS Nikko Copper Refinery, the oldest son of late Koo Tae-hoe, former chairman of LS Cable. His promotion came just three years after getting promoted to managing director, the highest ranking third generation Koo family.

U.S. buyout firm KKR & Co (KKR.N) has agreed to set up an auto parts joint venture with South Korea’s LS Group and buy LS’s materials business - a deal that follows its purchase of Nissan Motor (7201.T) supplier Calsonic Kansei last year.

KKR’s investment implies a combined enterprise value of the businesses of about 1.05 trillion won ($924 million).

KKR will create the joint venture with LS for LS Automotive, an auto parts electronics maker, and will additionally buy an affiliate that makes copper foils for large capacity lithium-ion batteries used in electric vehicles.

KKR will own a 47 percent stake in the joint venture for LS Automotive, which makes switches, interior lamps and other auto parts for Hyundai Motor (005380.KS) and other global automakers as well as top-tier suppliers like Continental (CONG.DE) and Delphi. It will make its proposed investment from its $9.3 billion Asian Fund III.

LS Group will sell the copper foil and flexible copper clad laminate business under LS Mtron to KKR. The transaction is estimated at 1.05 trillion won, but the final figure may change based on net asset status at the time of completing the business transfer contract, said LS Group.

LS Automotive will maintain its nameplate, but LS Mtron’s copper foil and flexible copper clad laminate business will start as a new, independent entity under the American owner. LS Mtron will focus on growing its key tractor business after completing the sell-off.