KT Corp. said Thursday that its incumbent CEO Ku Hyeon-mo has decided not to seek a second term, publicizing his official withdrawal from the ongoing review process to pick a leader of the nation’s second-largest telecom company in terms of subscribers.

The company said its board of directors accepted Ku’s decision and the recruiting for a new CEO will continue as planned.

Ku’s withdrawal comes as he faced an intensifying conflict with the company’s largest shareholder National Pension Service as the state pension fund voiced opposition to KT’s decision to endorse the incumbent CEO as the sole candidate for the top spot.

Earlier in December, the company’s CEO candidate review committee appointed Ku as the final candidate to take another term. But the board decided to restart the recruiting process in a way to enhance transparency.

The committee accepted applications from potential candidates until Monday and Ku was one of the 34 people who applied to take the top seat.

KT said the board will choose the final candidate on March 7, ahead of the company’s shareholders’ meeting set for later next month.

Ku’s three-year term will end when the new CEO is named upon the shareholders’ approval at the meeting.