[비즈한국] It has been confirmed through Bizhankook's investigation that Inseong TSS, a company owned by the second and third generations of the Daewoong Pharmaceutical069620 owner family, has acquired MDWell Inc., which was previously held equally by Daewoong Pharmaceutical and Maeil Dairies263750. MDWell Inc., which was engaged in the patient nutrition and elderly-friendly food business, changed its name to Arion and transformed into a company involved in the horse industry. Inseong TSS, which is known to play a crucial role in the third-generation succession, appears to be expanding its scale in earnest.
MDWell Inc. was a medical nutrition company established in August 2008 through equal 50% investments by Daewoong Pharmaceutical and Maeil Dairies. Its flagship product is 'Mediwell.' MDWell Inc. grew to an annual revenue scale of 20 billion KRW last year, but in December, Maeil Dairies sold its entire stake to Daewoong Pharmaceutical. Instead, it entered into a business transfer agreement, and the medical division of Maeil Dairies has been continuing the business since the beginning of this year.
MDWell Inc. did not engage in any business other than patient and elderly-friendly foods. An official from Maeil Holdings005990 explained, "We sold our stake in MDWell Inc. to Daewoong Pharmaceutical at the end of last year, and the Mediwell business is being operated by Maeil Dairies following the business transfer agreement."
Daewoong Pharmaceutical sold 50% of its stake in MDWell Inc. to Inseong TSS and the remaining 50% to an individual. However, Inseong TSS gained controlling power by holding two additional shares.
Inseong TSS is 60% owned by Daewoong Pharmaceutical's second-generation owner, Chief Vision Officer (CVO) Yoon Jae-seung, and 40% owned by his eldest son, Yoon Seok-min, and is expected to serve as an important stepping stone for the third-generation succession process in the future (Related article: Daewoong Pharmaceutical's 3rd generation owner Yoon Seok-min begins management training, a 'look-alike' to his father Yoon Jae-seung).
In February of this year, MDWell Inc. changed its name to Arion and altered its business objectives. All previous business purposes were removed and new ones were added, including: △Breeding and trading of racehorses; △Trading of racehorses and training horses; △Wholesale and retail of animal medical devices; and △Sales agency for veterinary pharmaceuticals. The CEO is Jung Yoon-mi, who was previously a secretary and accountant for CVO Yoon Jae-seung.
Arion has its headquarters at the Daewoong Pharmaceutical building in Samseong-dong, Gangnam-gu, Seoul. Its capital, which was 1.0001 billion KRW at the time of acquisition, increased to 2.0001 billion KRW through a capital increase on the 9th. The industry expects that the company will carry out its business in earnest now that its capital has increased.
Bizhankook reached out to Daewoong Pharmaceutical to inquire about Arion's business plans and the change in shareholders due to the capital increase, but was unable to make contact.