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| President of the Los Angeles Lakers Jeanie Buss, second from left, poses with Lee Sun-ho, head of the global business team at CJ CheilJedang, during a signing ceremony for a global marketing partnership at the Staples Center in Los Angeles, Sept. 20. Courtesy of CJ CheilJedang |
By Kim Jae-heun
CJ Group heir Lee Sun-ho, the eldest son of Chairman Lee Jae-hyun, is on track to succeed his father as head of the local conglomerate.
The younger Lee, head of the global business team at CJ CheilJedang, flew to the United States to sign a global marketing partnership deal with the Los Angeles Lakers as a sponsor, Sept. 20
This is his first public appearance in nine months since he was reinstated to his position in January, after being dismissed last September when he received a suspended jail sentence for drug smuggling.
Lee’s visit comes after CJ Group struck a substantial sports marketing agreement. The local food giant did not reveal the exact amount of its sponsorship of the American basketball legendary team but it is estimated at 120 billion won ($102 million) over the next five years. This is the first time the LA Lakers management has selected a foreign marketing partner other than an American firm.
The LA Lakers offered the partnership to CJ CheilJedang first and Lee is said to have made the “crucial” decision in finalizing the deal. The basketball team is run by a family business and Jeanie Buss is the controlling owner and president. Lee was reportedly asked to join the memorandum of understanding signing event by Buss.
Lee’s “hereditary succession” is expected to speed up with the deal, according to industry watchers. The elder Lee is not in good health and the group is experiencing radical operational changes due to the COVID-19 pandemic.
Lee Sin-ho and his older sister Lee Kyung-hoo, executive vice president of CJ ENM, secured a large amount of cash through a pre-initial public offering for CJ Group’s cash cow CJ Olive Young at the end of last year. The two are continuing to expand their stake in CJ Group’s new preferred stock, which can be converted to common stock after a certain period of time.
They also sold a respective 6.87 percent and 2.65 percent of their stakes in CJ Olive Yong for 101.8 billion won and 39.1 billion won.
Meanwhile, CJ CheilJedang’s food brand Bibigo has a 40 percent penetration into the American dumpling market. Additionally, in the second quarter, Bibigo’s food sales in Europe and Asia showed noticeable growth, soaring 22 percent.
CJ Group heir on track for managerial succession
Source: Buhay Kapa PH
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