Kakao Says, "Kakao X Has No Plan to Become a Holding Company"

[Financial News] Kakao Corp., which is pushing ahead with a spin-off into two independent entities, Kakao AI and Kakao X, drew a clear line on the possibility of turning Kakao X into a holding company.
Kakao Investment CEO and head of group investment strategy at the CA Council, Kim Do-young, who has been nominated to lead Kakao X, the unit in charge of the group’s investment arm, said at a press briefing on the spin-off held on the 21st, "There are absolutely no plans to turn Kakao X into a holding company."
The CA Council, which had coordinated matters across the group, also appears set to be fully dismantled. Kim said, "There may be discussions by topic, but a joint organization like the existing CA Council is no longer necessary."
He added, "Before the split, Kakao Corp. simultaneously operated as a business company running commerce and advertising based on KakaoTalk Biz and as a manager of its subsidiaries, which is why there was a CA Council related to independent subsidiary operations. Once the spin-off takes place, the two companies will pursue independent management, as their business purposes differ."
He added, however, that "organic cooperation between the KakaoTalk platform and its subsidiaries will continue as before."
When asked about the future role of founder Kim Beom-soo, Kim said, "We believe he will continue to serve as the controlling shareholder in both entities," adding, "He will continue to play the same role in supporting growth and innovation."
Kim emphasized, "Even after the split, each company plans to maintain responsible management and independent governance just as it does now."

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