Media reports in South Korea have reported Hahn & Co. has agreed to buy 52.6% of Namyang Dairy, which has attracted negative headlines in recent years.
In April, Namyang Dairy claimed one of its yogurt drinks showed 78% efficacy in preventing Covid-19, The Korea Herald reported.
After South Korea’s government said the company had broken advertising rules, the firm’s chairman, Hong Won-sik, resigned, The Korea Times said. Hong is the son of Namyang Dairy’s founder, Hong Doo-young. Combined with other members of the Hong family, Mr. Hong owned a majority of the business.
In 2013, a voice recording reportedly emerged of a Namyang Dairy salesperson forcing distributors to buy more of the country’s products. The affair sparked a consumer boycott, which led to the company losing its top spot in South Korea’s dairy market to local rival Maeil Dairy.
Just Food has asked Hahn & Co. for comment on the deal.