Korean papers report Hyundai Electronics Industries and LG Semicon are falling out over terms for running the consolidated semiconductor operation they are to form as part of a general restructuring of Korea’s five largest chaebols in the wake of the country’s economic difficulties. Hyundai and LG Semicon, Korea’s second and third largest semiconductor firms respectively are forming the joint company together with a foreign consulting firm which is to help determine who will take the 70% controlling stake. The companies have each come up with their own preferred consultant, and are said to be at odds over their respective proposals.
