The newly-formed group will be co-owned by Ogilvy and Young & Rubicam, each with 14 per cent share. WPP, LG Ad's biggest shareholder, has already restructured its holding.
Current LG Ad vice-chairman In-ho Lee will be the CEO of the new holding company and current LG Ad president Seung-hun Lee will be appointed as the CEO of the operating company in charge of the advertising business divisions.
In addition, In-ho Lee will also take on the chairman's position at the agency operating company.
Plans are due to be approved at a shareholders meeting on September 30.
LG Ad restructures with Ogilvy, Young & Rubicam shares
LG Ad, South Korea's second largest agency, is to be restructured into a holding company that will control a number of operating units, chief among them the current agency LG Ad, which will retain its current name. The new holding company has tentatively been named GR2.
