Jungheung Group

Jungheung Group
Native name
중흥그룹
Founded1983
HeadquartersGwangju Metropolitan City Buk-gu Moodeung-ro 204
Websitehttps://www.jungheung.co.kr/eng_/main.php

Jungheung Group (Korean: 중흥그룹) is a construction conglomerate based in South Korea. Jungheung construction projects have included rental apartments[1] and public housing.[2]

History

In 2015, the CEO of Jungheung Construction (Jung Won-joo) was arrested on "the suspicion of raising slush funds."[3][4][5]

In 2019, Jungheung Group secured 47.8 percent of the Herald Group.[6]

Although it canceled its initial bid,[7] Jungheung was selected by the Korea Development Bank to acquire Daewoo E&C after offering a reduced 2.1 trillion won in July 2021.[8][9] The move was condemned by the Daewoo E&C labor union.[10] In December, Jungheung agreed to purchase the controlling stake.[11] Jungheung promised Daewoo E&C independent management but refused to sign the Daewoo E&C union's request for a written agreement.[12] The union protested, rallying in front of Jungheung's headquarters.[13] In February 2022, the union reached an agreement with Jungheung management and stopped protesting. By March, various Jungheung executives and relatives of the Jungheung vice chairman were appointed as leaders of Daewoo E&C.[14]

In 2023, the Fair Trade Commission (South Korea) found that Jungheung had the most owner family members as unregistered board executives among conglomerates in the country. The practice has been criticized due to the lack of associated managerial responsibility.[15] In December 2025, the FTC fined Jungheung Construction on allegations of free guarantees "to a company owned by a family member of the chairman" in relation to public land development projects.[16]

References

  1. ↑ "Market to be flooded by rental apartments". koreajoongangdaily.joins.com. 2016-09-09. Retrieved 2026-05-28.
  2. ↑ "Public housing gets more genteel". koreajoongangdaily.joins.com. 2017-10-02. Retrieved 2026-05-28.
  3. ↑ "Edu. Chief in Trouble". KBS 뉴스 (in Korean). Retrieved 2026-05-27.
  4. ↑ "Construction company head accused of graft". koreajoongangdaily.joins.com. 2015-04-23. Retrieved 2026-05-28.
  5. ↑ Kim, Hyun-bin (2021-06-04). "KDB pushing for Daewoo E&C sell-off without union backing - The Korea Times". www.koreatimes.co.kr. Retrieved 2026-05-27.
  6. ↑ Jung, Min-ho (2019-05-16). "Builder takes over the Korea Herald - The Korea Times". www.koreatimes.co.kr. Retrieved 2026-05-27.
  7. ↑ Park, Anna (2021-07-04). "Will unprecedented re-bid for Daewoo E&C have a happy ending? - The Korea Times". www.koreatimes.co.kr. Retrieved 2026-05-27.
  8. ↑ Lee, Sang-eun. "Jungheung cuts Daewoo E&C acquisition price by $180 mn". The Korea Economic Daily Global Edition. Archived from the original on 2022-03-31. Retrieved 2026-05-28.
  9. ↑ Kim, KwangTae. "Jungheung Construction chosen as preferred bidder for Daewoo E&C | Yonhap News Agency". Yonhap News Agency. Archived from the original on 2026-01-15. Retrieved 2026-05-28.
  10. ↑ Park, Jae-hyuk (2021-07-05). "KDB picks Jungheung as top bidder for Daewoo E&C - The Korea Times". www.koreatimes.co.kr. Retrieved 2026-05-27.
  11. ↑ Kim, Jae-heun (2021-12-09). "Jungheung Construction to take over Daewoo E&C - The Korea Times". www.koreatimes.co.kr. Retrieved 2026-05-27.
  12. ↑ Park, Jae-hyuk (2022-01-26). "Daewoo E&C, HDC unprepared for industrial accident law - The Korea Times". www.koreatimes.co.kr. Retrieved 2026-05-28.
  13. ↑ Park, Jae-hyuk (2022-01-18). "Daewoo E&C labor conflict casts cloud on Jungheung's takeover - The Korea Times". www.koreatimes.co.kr. Retrieved 2026-05-28.
  14. ↑ Park, Jae-hyuk (2022-03-03). "Jungheung's owner family tightens grip on Daewoo E&C - The Korea Times". www.koreatimes.co.kr. Retrieved 2026-05-28.
  15. ↑ Oh, Seok-min. "136 companies have unregistered executives from owner families on boards: regulator | Yonhap News Agency". Yonhap News Agency. Archived from the original on 2026-05-28. Retrieved 2026-05-28.
  16. ↑ Kang, Jae-eun. "FTC slaps fines on 3 construction firms, CJ for unfair internal deals | Yonhap News Agency". Yonhap News Agency. Archived from the original on 2026-05-28. Retrieved 2026-05-28.
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