Shareholder vote on appointments scheduled for June 22 extraordinary general meeting
Kakao Games is set for a sweeping leadership change as LY Corp. prepares to take over as its largest shareholder.
The company plans to install a co-CEO structure, pairing Kim Tae-hwan, former chief strategy officer of Line Games, with Lee Si-woo, Kakao Games' current chief business officer.
Kim's appointment is drawing particular attention. Known as a mergers-and-acquisitions and investment specialist, he is expected to steer Kakao Games toward an aggressive push to secure promising intellectual property. Kim previously led M&A and investment efforts at Nexon and Line Games.
According to a regulatory filing Friday, Kakao Games will hold an extraordinary general meeting on June 22 to vote on appointing Kim and Lee as inside directors. Both are expected to be named co-CEOs following the board vote.
Kim, born in 1978, graduated from Yonsei University with a degree in political science and diplomacy. He has held senior roles including executive vice president at Nexon Korea, chief business development officer at Nexon Japan, executive vice president at Nexon America, and executive vice president at Line Games.
Lee graduated from Sogang University with a degree in business administration. He has worked as a business team leader at NHN (formerly Hangame) and Wemade, secretary-general of the Game Talent Foundation, and head of Kakao Games' mobile business division before assuming his current role as CBO.
Kim's arrival at Kakao Games is drawing wider attention in the industry. He is widely regarded as one of the key executives behind Nexon's peak years, having driven overseas studio acquisitions and IP deals. In November 2023, he was appointed CSO of Line Games, stepping in as a troubleshooter shortly after founder Kim Min-gyu stepped down amid internal turbulence. He is also reported to have overseen LY Corp.'s acquisition of the Kakao Games stake.
Industry watchers believe LY Corp. tapped Kim to engineer a turnaround at Kakao Games, which has been mired in a prolonged earnings slump. The company has posted operating losses for six consecutive quarters, from the fourth quarter of 2024 through the first quarter of this year. Its first-quarter operating loss reached 25.5 billion won (about $16.7 million) — nearly double the 12.4 billion won loss recorded in the same period a year earlier.
"Kim is recognized as a negotiations expert who has delivered M&A and investment results at global game companies including Nexon and Line Games," an industry official said. "Drawing on his experience in business development and strategy execution in global markets, he is expected to shape Kakao Games' mid- to long-term business strategy and expand the company's IP portfolio through M&A and strategic investment."
Meanwhile, LAAA Investment — a vehicle backed by LY Corp. — acquired a portion of Kakao's stake in Kakao Games for approximately 300 billion won, making it the company's largest shareholder.
ko@heraldcorp.com
