Owner's property division to change Smilegate's governance

The ruling on Smilegate founder Kwon Hyuk-bin's divorce settlement is anticipated to bring modifications to the company's governance structure, which presently revolves around Kwon's sole ownership. On Wednesday, the Seoul Family Court mandated Kwon to transfer a 35 percent share in the company to his wife, identified as Lee. Although the parties involved retain the right to appeal and the extent of the stake may vary, it is highly probable that the ownership structure maintained by Kwon since 2012 will be altered.

Previously, Smilegate comprised several distinct entities, comprising Smilegate Holdings, Smilegate Entertainment, which oversees CrossFire, and Smilegate RPG, which operates Lost Ark. However, earlier this year, the group merged these entities into a more streamlined structure wholly owned by Kwon. Without a public explanation for why he retains full ownership, the structure has elicited both favorable and unfavorable evaluations.

On the brighter side, it is perceived as a tactic to run the company autonomously without disagreements among shareholders or influence from external investors.