[Park Soo-nam’s CEO Analysis 2] Boryung Chairman Kim Jung-kyun – The Flashy Shell of a Third-Generation Owner, Hollow Management Philosophy… Stock Price Plummets as Core Business Drifts

[CEONEWS = Reporter Park Soo-nam]

Boryung Pharmaceutical (now simply Boryung) Chairman Kim Jung-kyun is a textbook case of a “silver-spoon” CEO. Born in 1985, he is the maternal grandson of the company’s founder, Honorary Chairman Kim Seung-ho, and the eldest son of Boryung Holdings Chairwoman Kim Eun-sun. Far from being wings, this glamorous background has become shackles. Though he boasts a strong resume—industrial engineering at the University of Michigan, a master’s in pharmaceutical and food sciences from Chung-Ang University, and consulting experience at Samjong KPMG—his lightning-fast rise from entry in late 2013 to CEO in just six years owes more to lineage than merit. With the resignation of co-CEO Jang Doo-hyun in 2025, Kim now has sole control over the group.

The Shadow of an Illegitimate Succession, Lingering Suspicions

In late 2009, Kim’s stake in Boryung Holdings stood at 10%. By 2010, it had jumped to 25%. Magic? Not quite. The Korea Fair Trade Commission pointed to illicit internal transactions and unfair inheritance practices. In 2017, further signs of third-generation favoritism emerged.

This isn’t mere succession—it’s a termite eating away at corporate transparency. It exemplifies hereditary capitalism, where competent professional managers are denied their place. Unlike Samsung’s Lee Jae-yong, who endured a decade-long legal battle before being cleared, Kim Jung-kyun’s succession remains mired in a gray zone.

A Gamble Named “Space”: The 84 Billion Won Black Hole

In 2022, Kim rebranded Boryung as a “space healthcare company” and poured $60 million (approximately 84 billion KRW) into Axiom Space in the U.S. Private space station construction? Drug development in space?

The outcome was dismal. Stock prices plummeted 20% immediately after the announcement. When Axiom’s financial troubles surfaced in late 2024, hopes of recouping the investment vanished. The anger of shareholders can be summed up in one sentence: “Why is a pharmaceutical company throwing money into space?”

Let’s look at the facts. Launching experiments aboard the ISS has been delayed until next year. Commercialization? That could take decades. McKinsey may rank space pharma as a top growth area—but that’s for giants like Pfizer or Novartis. A mid-sized pharma firm barely breaking 1 trillion KRW in revenue simply isn’t equipped.

Where Is the Core Business? The Identity Crisis of a Drifting Pharma Company

Boryung’s stock has fallen over 15% in the past year. Despite hitting 1 trillion KRW in revenue, investors have turned their backs. Why? Because Kim chased the mirage of space while neglecting the company’s core pharmaceutical business.

What is the essence of a pharmaceutical company? Making medicine that heals people on Earth. It means investing in R&D, developing new drugs, generating stable revenue through generics, and preparing for the future with biosimilars. Yet Kim gazes only at space stations.

His 2025 acquisition of shares through Boryung Partners also raises suspicions. Is this a personal succession scheme disguised as business strategy? A privatization of corporate resources? The doubts keep piling up.

The Essence of the ‘Space Delusion’: The Owner’s Romance Devours Shareholder Value

When TSMC started its foundry business in 1987, Samsung laughed—at the time, the market was only worth $200–500 million. But TSMC stayed the course and now reigns as the global foundry leader. Samsung joined the race late and still trails behind.

Boryung’s space venture seems similar—but with one key difference. TSMC’s move was an extension of its core business. Boryung’s isn’t. This is not innovation—it’s delusion.

SpaceX? Elon Musk’s success story? That’s theirs. Boryung lacks the capital and technological prowess. In just three years, the company has poured 175 billion KRW into the project with zero results. Only flashy press releases have followed, with no tangible progress.

What Qualifies a CEO? Know the Difference Between Dreams and Reality

Kim Jung-kyun claims, “Space is the next generation’s public interest.” It sounds noble. But management is not poetry. Realizing personal dreams with shareholders’ money is a breach of duty.

A true CEO keeps their feet on the ground and faces reality. The future of pharma lies in AI-driven drug discovery, precision medicine, and cell and gene therapies—all rooted firmly on Earth. Not in orbit.

Abandon the Stars, Return to Earth

Kim’s leadership is lost between “succession stability” and “innovation ambition.” If he does not wake from his space fantasy, Boryung may face not just stock decline but existential threat.

Hyosung founder Cho Hong-je once emphasized “Seeing righteousness before profit.” So, Kim Jung-kyun must ask himself: Is the space business truly righteous—for shareholders, employees, and patients awaiting medicine?

A pharmaceutical company does not launch stars—it saves lives on Earth. Chairman Kim, wake from your space delusion. That is the first step to becoming a real leader.