Private equity company Hahn & Co has taken over the boardroom of Namyang Dairy Products to put an end to 60-year family ownership of the dairy firm.

During the regular shareholders meeting held at Namyang’s headquarters in southern Seoul on Friday, officials from Hahn & Co were appointed as inside directors, while Lee Myung-Chul, chair of Institut Pasteur Korea, was appointed as an outside director.

Previous directors, including Hong Won-sik, chair of Namyang Dairy Products, stepped down following years of conflict with Hahn & Co over company control.

Despite being a leading company in the dairy industry, Namyang faced difficulties after 2010 and was further troubled by controversies, including a boycott in 2013 due to its unfair practices with distributors and the involvement of the owner families in drug scandals.

In response to growing criticism, Hong announced his intention to sell his shares to Hahn & Co, declaring his resignation in 2021, but he later canceled the plan.

As the nation's top court ordered Han to implement the initial plan in January, Hahn & Co became the top shareholder of the company.

Namyang has been experiencing losses since 2020, with losses of 77.9 billion won ($57.8 million) in 2021, 86.8 billion won in 2022 and 72.4 billion won in 2023.

Hahn & Co gained recognition for its acquisition of Woongjin Foods, a local food company, and subsequent sale at a price five times higher than the purchase price five years later.