CJ CheilJedang held the 16th regular shareholders’ meeting at CJ Manpower Development Institute in Pil-dong, Jung-gu, Seoul, on March 28 and unanimously approved proposals, including one related to the election of Choi Eun-seok an inside director.
In his speech at the meeting, CJ CheilJedang President Choi disclosed each respective business’s plan for 2023.
He announced the establishment and operation of independent, incorporated entities in food, bio, food nutrition & tech (FNT), feed & card, and CJ Bio Science/CJ Wellcare.
President Choi revealed his ambition to be a global leading player in the food sector by securing unmatched capabilities, such as achieving a world-class brand, plus R&D technology and manufacturing competitiveness.
CJ CheilJedang plans to hit the gas to secure a strong posting online and offline by nimbly coping with market and consumers’ changes in the Korean market and double-down to improve growth and profitability in its global businesses, such as the United States.
President Choi said, “CJ CheilJedang will explore new markets, such as Australia and the Philippines, find new production center sites to ramp up its global business while seriously considering M&As to have synergetic effects with the existing businesses.”
Following President Choi’s speech, a shareholder proposed progress of proceedings, saying that takeaways of the 2022 business performance were contained in a speech by the chairman of the board of directors, and a briefing on the business performance should be replaced by a related report.
A majority of the participating shareholders expressed approval of the proposal, so briefings on matters, including an auditor’s report, were finished in a relatively short period of time.
The shareholders’ meeting gave the go-ahead to all the proposals, including electing President Choi Eun-seok as an inside director without opposition.
President Choi, reelected at the shareholders’ meeting, said CJ CheilJedang aims to achieve a business performance surpassing last year’s by implementing new businesses in the food and bio sectors as well as nurture future new growth engines.
As for the food sector, CJ CheilJedang will prioritize expanding the K-food business turf. The company plans to implement strategies tailored to meet conditions corresponding to the growth of the global food business.
The sector had already seen annual sales top 5 trillion won and its portion surge to 47 percent.
CJ CheilJedang, which is on a roll in the United States, aims to maintain growth and profitability by accelerating its global strategy products’ (GSPs) access to large-sized distribution channels.
In the North American region, the company plans to step up its market entry to Canada.
CJ CheilJedang plans to ramp up business competitiveness, with a focus on core products in Asia-Pacific and European regions.
The company plans to accelerate market entry in the Asia-Pacific region based on its manufacturing competitiveness in Vietnam and embark on efforts to expand the K-food business turf through its planned second production center in Europe.
The company plans to step up efforts to explore new markets, such as Australia, Thailand, the Philippines and Malaysia.
New market entry will depend on local production or exporting products, made by global production centers.
CJ CheilJedang plans to ramp up the competitiveness of the bio business and secure future growth engines.
As for the bio business, the company has three axes: “green bio” in the agro-food segment, “white bio” in the environment and energy sector, and “red bio” in the medical/pharmaceutical sector.
President Choi said his company would devote itself to maintaining profitability in the green bio segment while nurturing value-added white bio and red bio businesses as future growth engines.
Specifically, the company aims to raise production of white bio, replacing fuel plastic and other chemical products, to 65,000 tons per annum by 2025.
Meanwhile, CJ CheilJedang agreed to pay 5,500 won per common share and 5,550 won per preferred share in dividends for the year 2022. The figures represent a 10 percent rise over the previous year.
The company has raised its dividend for the third consecutive year since 2020.
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