JTreeBNT, Reasons for Filing Two Injunction Lawsuits to Prohibit Paid-in Capital Increases

[Asia Economy Reporter Jang Hyowon] Kosdaq-listed company GTree BNT has faced two injunction lawsuits regarding the 40 billion KRW rights offering decided on the 13th. The first lawsuit was filed by the current largest shareholder, GTree Holdings, and the second by SH Partners. SH Partners claims that they had agreed to the capital increase before this rights offering and had drafted an agreement.

According to the Financial Supervisory Service’s electronic disclosure on the 14th, GTree BNT announced that it had been served with an injunction lawsuit from SH Partners the previous day to prohibit the issuance of new shares. This injunction seeks to block the 40 billion KRW rights offering that GTree BNT decided to issue to the HL Bi consortium on the 13th of last month.

This lawsuit is separate from the injunction filed by GTree Holdings, the current largest shareholder of GTree BNT as of the 7th, which also seeks to prohibit the issuance of new shares. GTree Holdings reportedly filed the injunction to have the court review potential legal procedural issues related to this rights offering.

On the other hand, SH Partners, which filed the injunction the previous day, is a company not previously known in connection with GTree BNT. SH Partners claims that before GTree BNT decided on the rights offering to the HL Bi consortium on the 13th of last month, they had already reached an agreement on the rights offering and management rights acquisition with CEO Yang Wonseok of GTree BNT on the 9th of last month.

A representative of SH Partners stated, “Before the announcement of this third-party allotment, on the 9th of last month, we signed an ‘agreement’ with CEO Yang Wonseok that included the appointment of five directors and an auditor, dispatch of a management supervisor, acquisition of management rights, and a third-party allotment rights offering exceeding 35 billion KRW.”

SH Partners further explained, “According to the agreement, the payment deadline for the rights offering agreed upon on the 9th of last month was the 28th of last month. Despite no grounds for cancellation of the agreement, another contract was signed. The third-party allotment rights offering announced on the 13th of last month constitutes a double contract, and SH Partners filed the injunction to confirm their status as the prior contracting party.”

Meanwhile, GTree BNT released a statement the previous day explaining, “The injunction application to prohibit the issuance of new shares by SH Partners is identical to the content disclosed on the 7th, and SH Partners is a party introduced by Bayside with whom we had been negotiating investment attraction.”

They added, “The injunction application filed by GTree Holdings regarding the agenda submission is content that further puts the company, which is striving to enhance shareholder value, in a difficult position. We will strongly respond to all recently filed lawsuits in accordance with law and principles.”

This content was produced with the assistance of AI translation services.