[Featured Stock] Korea Zinc Surpasses 750,000 Won... Up 7% from Previous Trading Day to 763,000 Won

Korea Zinc, currently involved in a management rights dispute, is trading at 763,000 KRW as of 9:02 AM on the 4th in the KOSPI market, up 50,000 KRW (7.01%) from the previous trading day.

On the last day of MBK Alliance's tender offer, the Korea Zinc stock price is expected to determine the advantage or disadvantage in this management rights battle.

Korea Zinc shareholders must decide whether to participate in MBK's tender offer on this day. The current tender offer price proposed by MBK is 750,000 KRW. If Korea Zinc's stock price does not exceed 750,000 KRW, it indicates that shareholders are more sympathetic to MBK's proposal, which is favorable to MBK.

Conversely, if the stock price surpasses 750,000 KRW, existing shareholders are more likely to refrain from participating in MBK's tender offer and instead sell their shares to Korea Zinc, which has offered 830,000 KRW per share. In this case, Korea Zinc is expected to successfully retain management rights.

If the price exceeds 750,000 KRW, attention will also focus on whether MBK will further raise the tender offer price on the 4th. Previously, MBK raised the Korea Zinc tender offer price from 660,000 KRW to 750,000 KRW.

However, if MBK raises the price once more, it will require additional funding amounting to hundreds of billions of KRW, and even if the acquisition of management rights succeeds, recovering the investment may not be easy, which is expected to be a burden.

The limit on treasury stock purchases has also emerged as a legal issue. Currently, Korea Zinc claims, based on the Commercial Act, that it can purchase treasury stock worth around 6 trillion KRW, whereas the MBK-Youngpoong alliance counters that considering Korea Zinc's articles of incorporation, only 58.6 billion KRW can be used for treasury stock purchases.

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