Han & Co "Namyang Dairy Products Share Transfer Lawsuit, Final Complete Victory at the Supreme Court"

Han & Co "Chairman Hong Won-sik Must Respect Supreme Court Ruling"
Cha Partners Requests Tender Offer to Han & Co

Han & Company (Han & Co) has won the final victory in the stock transfer lawsuit filed against Hong Won-sik, chairman of Namyang Dairy Products, and the Namyang Dairy Products owner family. On the 4th, the Supreme Court Division 2 (Presiding Justice Cheon Dae-yeop) ruled in favor of Han & Co in the appeal trial of the stock transfer lawsuit filed against Chairman Hong's family.

Regarding this ruling, Han & Co stated, "We welcome the Supreme Court's decision," adding, "We have been engaged in the lawsuit because we could not allow the M&A contract to be discarded like waste due to change of heart and false claims. The long dispute has ended. Only the procedure for Chairman Hong to fulfill the stock purchase agreement remains," and "We expect Chairman Hong's side to respect the Supreme Court's ruling."

Han & Co also said, "Furthermore, to normalize the company's management, we will promptly implement the stock purchase agreement, establish management improvement plans together with Namyang Dairy Products' executives and employees, restore consumer trust, and create a new Namyang Dairy Products."

On the same day, activist fund Cha Partners Asset Management (Cha Partners), which owns 3% of Namyang Dairy Products' shares, welcomed the groundwork for management normalization and urged the new controlling shareholder Han & Co to make their best efforts for prompt management normalization. They also requested Han & Co to "consider the damages suffered by stakeholders including general shareholders of Namyang Dairy Products during the management vacuum caused by the litigation period, and communicate with all shareholders through lawful procedures and methods such as prompt disclosure of management improvement plans."

They also demanded a public tender offer for minority shareholders' shares, at the same price as the controlling shareholder's share acquisition price (820,000 KRW per share). They argued, "The public tender offer is intended to grant general shareholders the right to sell their shares at the same price as the controlling shareholder in the event of a change in management control," and "Not all shareholders need to respond to this, and from Han & Co's perspective, it would be desirable to have a shareholder composition consisting only of shareholders who welcome them after the public tender offer."

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