A South Korean court has ordered gaming tycoon Kwon Hyuk-bin to surrender a sizeable share of his fortune to his former wife in what is believed to be the country’s largest divorce asset settlement.
The Seoul Family Court on Wednesday granted the divorce and ordered Mr Kwon, the founder of gaming company Smilegate, to transfer a 35 per cent stake in the company worth about 2.5 trillion won.
He must also pay 65 billion won in cash.
Together, the assets are valued at about $1.5 billion, or nearly KSh.194.13 billion.
The ruling eclipses the previous record in South Korea, involving SK Group chairman Chey Tae-won and his former wife, Roh Soh-yeong. Their divorce settlement involved 944 billion won.
Mr Kwon founded Smilegate in 2002 and built it into one of South Korea’s leading gaming companies.
His former wife, identified by local media by her surname, Lee, filed for divorce in November 2022. She sought half of Mr Kwon’s stake in Smilegate.
Ms Lee argued that she had contributed to the company’s early development and management. She also said her domestic work had indirectly supported the business and entitled her to a share of the wealth accumulated during the marriage.
Mr Kwon disputed that account. According to local reports, he argued that Ms Lee was neither a co-founder nor involved in the company’s management. He also opposed the divorce.
The court found that the marriage had broken down beyond repair.
A court spokesperson said the decision followed consideration of the couple’s prolonged conflict and the limited prospects for reconciliation.
The court also concluded that both parties were equally responsible for the breakdown of the marriage. It therefore rejected Ms Lee’s claim for damages while granting the divorce.
The court valued Mr Kwon’s assets at as much as 8 trillion won, according to local media reports.
The case comes as South Korea continues to grapple with high-profile disputes over the division of fortunes built during marriage.
Another closely watched case involves Mr Chey and Ms Roh. Mr Chey appealed in August against a ruling requiring him to pay his former wife about $666 million.
The Seoul High Court ruled in July that Ms Roh was entitled to roughly one-third of the couple’s marital assets, including Mr Chey’s shares in SK Group. The court cited her role in the family and her support for activities connected to the business.
Mr Chey’s appeal has taken the dispute to the Supreme Court.
The two cases have renewed attention on how South Korean courts assess contributions to family businesses and divide substantial fortunes after marriages end.
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