SK Square CEO resigns amid conglomerate's rebalancing efforts

SK Square, an investment arm of SK Group, said Tuesday its CEO Park Sung-ha resigned amid the conglomerate's rebalancing efforts to solve its financial strains.

SK Square headquarters [SK SQUARE]

SK Square, an investment arm of SK Group, said Tuesday its CEO Park Sung-ha resigned amid the conglomerate's rebalancing efforts to solve its financial strains.

"SK Square board's committee in charge of the CEO candidate's management and recommendation initiated the process to recommend a new candidate for the CEO, as current CEO Park Sung-ha expressed his intention to step down," the company said Tuesday in a release.

"SK Square plans to hold an extraordinary general meeting and board meeting to appoint a CEO recommended by the committee as the inside director and CEO," the company added.

Last week, Park was reportedly asked to step down from the CEO post due to the poor performance of the company's affiliates, including 11Street, SK Planet and One Store.

SK Group is in the process of restructuring its business portfolio to enhance profitability amid the divorce case of its chairman, Chey Tae-won, that could cost him more than 1.3 trillion won ($9.4 million) in property division.

BY JIN EUN-SOO [jin.eunsoo@joongang.co.kr]