Korea's CJ CheilJedang mulls rebrand with name change

South Korean food giant CJ CheilJedang Corp. is considering a new name for the company in a bid to represent its main businesses and target global consumers, according to industry sources on Dec. 7. It is highly likely to exclude Jedang from the name, which means “sugar manufacturing” in Korean.

The company was named “CheilJedang” in 1953 by the late Lee Byung-chull, the founder of Samsung Group and CJ Group. Lee, the late grandfather of Samsung Group Chairman Jay Y. Lee, established CheilJedang as a sugar firm in Busan soon after the Korean war ceased.

The company has become Korea’s top food supplier, globally known for its K-food brand Bibigo and instant rice Hetbahn. It also runs a bio business, focused on amino acids and fermented soy protein for humans and animals.

CJ CheilJedang posted 15.74 trillion won ($11.9 billion) in annual revenue, excluding sales from subsidiary CJ Logistics Corp., last year. Processed food for domestic and overseas use command 21.5% and 27.7%, respectively, while bio makes up 39.3%.

The food material business, including oil, sugar, flour and starch, accounted for the remaining 11.5%. Revenue from sugar reached only 3.1% last year.

The food material business accounted for 21.9% of the company’s revenue in 2015 – the percentage has nearly halved in six years. 

The name of CJ CheilJedang was changed to CJ Corp. in 2002 when CJ Group Chairman Lee Jay-hyun took office. However, the food giant reclaimed its original name after five years as the group’s holding company was named CJ Corp.

The group will determine the new name if it receives approval from the board and the general meeting of shareholders in early 2023. 

Write to Soo-Jung Ha at agatha77@hankyung.com
Jihyun Kim edited this article.