MBK·Youngpoong "Korea Zinc, Tell Us the Relationship with Ignio Seller Who Made 100x Profit"

On the 6th, MBK Partners and Yeongpung stated, "In 2022, when Korea Zinc acquired Igneo, an absurd valuation was set," and added, "Chairman Choi Yoon-beom should disclose his relationship with the seller who made an enormous profit of up to 100 times during the Igneo acquisition."

MBK and Yeongpung issued a statement on the same day, demanding, "Due to the exceptional and unreasonable investment, Chairman Choi and the seller's relationship must be fully disclosed to the shareholders."

Korea Zinc acquired 100% of the existing shares and new shares of Igneo, a U.S.-based electronic waste recycling company, in two rounds in July and November 2022. The transaction amount was approximately 580 billion KRW. This amount was nine times Igneo's sales in 2021.

In particular, MBK and Yeongpung claimed that the initial shareholders of Igneo made 100 times their investment in just one year and six months. The total initial capital investment at Igneo's founding was about 2.75 million USD (27.5 USD per share). At the time Korea Zinc acquired Igneo's existing shares in July 2022, the price per share was 2,466 USD and 2,621 USD. The transaction price in November of the same year was 2,708.7 USD per share.

The MBK and Yeongpung alliance said, "Igneo was merely a startup company established in February 2021," and added, "It is very unusual that a non-disclosure agreement was signed and acquisition negotiations were conducted just five months after its establishment in July 2021."

The shareholders of Igneo at the time of the transaction were mainly investment funds, including ▲ MCC NFT (47.5%) ▲ PCT Igneo Investor LLC (38.2%) ▲ The Tarsadia Group LLC (5.7%) ▲ Windchime Limited (5%).

MBK and Yeongpung stated, "Chairman Choi Yoon-beom's side claims to be unaware of the internal relationships of Igneo's sellers," and noted, "There is no case where the identities of the parties involved in a transaction involving hundreds of billions of KRW are disregarded."

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