Smilegate founder Kwon Hyuk-bin appeals 2.55 trillion KRW divorce ruling

Kwon Hyuk-bin, Chief Vision Officer of Smilegate, has appealed a first-instance court ruling ordering him to divide approximately 2.55 trillion KRW in assets with his former spouse. The Seoul Family Court previously ruled that Kwon must provide his ex-spouse with 35% of Smilegate shares in kind, along with 65 billion KRW in cash.

Kwon’s legal representatives stated that they disagree with the court's assessment regarding the spouse's contribution to the formation of assets. They argued that the spouse did not contribute capital, had no dedicated workspace at the company, and did not perform any official duties. The defense also contested the court's finding that the marriage had broken down, citing the spouse's refusal to communicate and the prolonged separation as factors introduced during the litigation process.

The ruling represents the largest asset division in a South Korean divorce case to date. If the original decision stands, the shift in Smilegate's shareholding structure could impact corporate governance, as a 35% stake would require Kwon to seek agreement with his former spouse for major decisions requiring special resolutions at shareholder meetings.