Paik Jong-won, the chief executive of Theborn Korea, announced that he is preparing legal actions against online content, including shorts, that distort the facts excessively for malicious purposes.
During a meeting with reporters at Lee Chun Restaurant in Gangnam, Seoul, on 13th, Paik noted that the purpose is not to criticize him personally but rather to conduct a legal review of content intended to undermine Theborn Korea. He said this was based on his judgment that the franchise owners of Theborn Korea have been suffering due to various controversies over several months.
He said, "I can tolerate attacks solely targeting Paik Jong-won, and I'm reflecting and correcting the wrongs. However, I have many concerns about how to address the excessive critical content. It's not about me; it's for the franchise owners."
Theborn Korea has reported that several individuals have repeatedly raised complaints, including over 70 national petitions, causing difficulties for not only the company but also the related local government and franchise owners.
Paik stated, "Due to repeated criticisms of issues already under improvement, the anxiety of the franchise owners has increased, and staff members who should focus on supporting franchisees are unable to respond to their main work." He added, "We acknowledge the incorrect aspects and are trying to improve; I ask for your patience."
Paik apologized again for concerns related to origin and hygiene issues. He stated, "There were many deficiencies, and I consider all issues that arose, whether due to actual wrongs or those not recognized, to be my fault. We are making significant efforts to improve."
Paik emphasized that he would view the recent controversy as a second opportunity for founding. The top priority is stabilizing the situation for the franchise owners. He said, "Resolving the difficulties faced by franchise owners is the most important first priority" and noted, "We will efficiently implement a support plan of 30 billion won over three months to improve the situation." He added, "I will seize this crisis as a second founding opportunity to discover and rectify issues that have not been noticed before."
Paik plans to focus on developing Korean sauces that are competitive globally, leveraging the popularity of global K-food. He noted, "Six out of eight types of export sauces are developed, and two are still in development."
Paik said, "The ultimate goal is to create sauces that allow people worldwide to experience the flavors of Korean cuisine anywhere, similar to sriracha, Tabasco, and oyster sauce." He also mentioned receiving a request from a major German retailer to create a bibimbap brand and menu, which will open in June.
Paik emphasized that he aims to create a virtuous cycle structure that benefits both franchise owners and shareholders, rather than maximizing profits through the franchise business.
Paik mentioned that he would also improve Baekham, which was one of the starting points of the controversy. Baekham has been criticized for its high price and low meat content. Paik stated, "We plan to reintroduce 'Baekham 2' with increased meat content within two months."
Meanwhile, Paik stated that he has no plans to sell his shares, regardless of the expiration of the lock-up period. According to the financial investment industry, the six-month lock-up period for Theborn Korea, which went public in November last year, has recently ended. The unlocked amount includes approximately 33.63% (4,865,835 shares) held by Paik Jong-won and Kang Seok-won, the co-CEOs. Paik said, "Neither I nor CEO Kang have any plans to sell."
Paik mentioned that he is comprehensively reviewing ways to utilize the capital raised from the listing, including acquiring a second brand and an initial raw material production plant to lower sauce costs. He stated, "Recent articles about the acquisition of Norang Tongdak have emerged, but I did not agree to add a new chicken brand to a saturated chicken market, which would further exacerbate the already saturated market," and added, "I am considering various ways to utilize the raised funds from the listing."