The holding company system settles as a major corporate governance structure for large business groups.
13 CVCs invested 104.8 billion KRW in early and mid-stage venture startups with urgent funding needs.
June 24, 2026
Business Group Information Analysis Team
The Korea Fair Trade Commission (KFTC) has analyzed and disclosed the status of holding companies and Corporate Venture Capital (CVC) owned by general holding companies under the "Monopoly Regulation and Fair Trade Act" (hereinafter the "Fair Trade Act").
The analysis revealed that the holding company system has firmly established itself as a major form of corporate governance, and CVCs are contributing to the revitalization of the venture ecosystem through investments in early and mid-stage companies.
Note: CVC stands for Corporate Venture Capital (venture capital owned by a corporation). While both CVCs under general holding companies and non-holding company CVCs can exist, ‘CVC’ in this press release specifically abbreviates ‘CVC under a general holding company.’
<Status of Holding Companies>
As of the end of December 2025, there were a total of 173 holding companies. Although this is a slight decrease from the previous year (177), the overall upward trend is being maintained. Following the increase in the minimum asset requirement for holding companies in 2017 (from 100 billion KRW to 500 billion KRW), the number of holding companies temporarily decreased but shifted back to a recovery trend after 2021.
Looking at the business groups subject to disclosure in 2026, half of the 102 large business groups (51 groups) possess holding companies, an increase from 50 groups at the end of 2024. Furthermore, 47 large business groups have either transitioned to or originally operated with a holding company-centric governance structure, which is also an increase of one group compared to the end of 2024. The number of such transitioned groups has maintained a continuous upward trend since 2016, indicating that the holding company system—favored for its transparent structure—is being widely chosen and utilized as a primary governance structure by large business groups.
Meanwhile, the financial soundness of holding companies has also improved. As of the end of 2025, the average total assets of holding companies stood at 3.1754 trillion KRW, an increase of 158.9 billion KRW from the previous year (3.0165 trillion KRW). The average debt ratio was 39.3%, dropping 4.4 percentage points from the previous year (43.7%), remaining well below the legal limit of 200%.
Regarding affiliated companies, the total number of subsidiaries, sub-subsidiaries, and great-grand-subsidiaries of all holding companies is 2,357, meaning each holding company controls an average of 13.9 affiliates. The average ownership stakes held by general holding companies in their subsidiaries and by those subsidiaries in their sub-subsidiaries were 73.7% (listed 42.0%, unlisted 87.0%) and 84.5% (listed 46.1%, unlisted 86.8%), respectively. These figures all significantly exceed the statutory mandatory ownership requirements (30% for listed, 50% for unlisted).
This confirms that the legislative intent of the holding company system—which dictates that controlling a subordinate company requires holding sufficient ownership to align the ownership structure with the governance structure—is being successfully implemented.
<Status of CVCs>
Based on the principle of separating finance and commerce, the Fair Trade Act generally prohibits general holding companies from owning financial companies. However, as the need to promote venture investments grew due to changing economic conditions, the law was revised to allow general holding companies to hold CVC shares on a limited basis under certain conditions, starting in 2022.
Regarding the status of CVC ownership by general holding companies, there were a total of 13 CVCs as of the end of 2025, a decrease of one from the previous year (14). This reduction occurred because Doosan Corp., the holding company of the existing CVC Doosan Investment Co., Ltd., was excluded from holding company status (the company continues to actively make venture investments outside the holding structure). Of the 13 CVCs, 10 (76.9%) are newly established and registered since the introduction of the CVC system, indicating that general holding companies are actively utilizing CVCs to invest in venture startups.
These 13 CVCs are currently operating a total of 85 investment funds. Among them, 15 were newly established in 2025, an increase of 5 compared to 2024 (10 funds). The committed capital for these funds also increased to 394.5 billion KRW, up 61.5 billion KRW from the previous year (333 billion KRW). The average committed capital of the 15 new funds is 26.3 billion KRW, which is 64.4% larger than the 16 billion KRW average of funds formed by general venture capitals (VCs) in Korea (according to the Ministry of SMEs and Startups, Feb 13, 2026). Notably, out of the 80.5 billion KRW actually paid into the 15 new funds, 52.5 billion KRW (65.2%) was contributed by the enterprise groups to which the CVCs belong. This demonstrates that internal corporate reserves are effectively flowing into the venture ecosystem through CVCs.
Looking at investment activity, the 13 CVCs executed 151 venture investments in 2025, totaling 193.9 billion KRW. While slightly lower than the 245.1 billion KRW invested in 2024, it is an increase from the 176.4 billion KRW invested in 2023, demonstrating a steady trend of venture investments via CVCs. Regarding overseas investments, 4 CVCs invested a total of 13.3 billion KRW (6.9% of the total investment scale).
<Future Plans>
The KFTC plans to continuously monitor the holding company system and CVC operations. It will dedicate multifaceted efforts to advance the corporate governance structures of Korean enterprise groups and promote the mutually beneficial development of large corporations and the venture ecosystem.
Furthermore, the KFTC plans to develop an "Enterprise Group Soundness Evaluation Index." This index will provide a comprehensive, at-a-glance view of the soundness of large business groups' ownership, governance, and transaction structures, ensuring that more substantial and actionable information is supplied to the market and relevant stakeholders.