Affiliates subject to strict antitrust rules rise to 1,128

The number of Korean business groups’ affiliates subject to restrictions on mutual investments and loan guarantees rose slightly this month from a year earlier, the antitrust watchdog said Friday.

The Fair Trade Commission said the number of firms on its monthly watch list stood at 1,128 as of the end of December, up one from the previous month.

The affiliates are owned by the country’s 27 largest business groups, including Samsung and Hyundai Motor. Seven business groups, including Shinsegae and CJ, added a combined nine more affiliates through stake purchases and new establishments. Six conglomerates, including Kumho Asiana, had eight fewer companies on the FTC’s list.

Under Korea’s fair trade law, the affiliates of large business groups with assets of 10 trillion won ($8.5 billion) or more are restricted from making equity investments in affiliates or offering loan guarantees to one another. Yonhap