MBK Sends Shareholder Letter Ahead of Extraordinary General Meeting... "Let's Move Forward Together for Korea Zinc"

MBK Partners sent a shareholder letter ahead of the extraordinary general meeting scheduled for the 23rd.

On the 9th, Kim Kwang-il, Vice Chairman of MBK Partners, stated in a shareholder letter addressed to Korea Zinc shareholders, "There are clearly issues with Korea Zinc's corporate governance, and we all now understand what those issues are," adding, "It is difficult, but let us overcome these problems together with our largest shareholder group."

Vice Chairman Kim mentioned that Korea Zinc must become independent from the 75-year partnership system between the Jang family, represented by Jang Hyung-jin, advisor of Young Poong, and the Choi family, represented by Choi Yoon-beom, chairman of Korea Zinc.

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He said, "The vision and dedication of the two families played an important role in bringing Korea Zinc to where it is today, but now they have become constraints that hinder Korea Zinc's growth," emphasizing that the two families should participate only in the board of directors, while professional management should take charge of running the company.

He continued, "The board, which is subordinated to Chairman Choi, must be completely reorganized," citing examples such as the company’s share buyback and attempts at a public rights offering as cases where Chairman Choi caused harm to shareholders to protect his personal management rights.

He also stressed the need for a thorough investigation and compensation measures regarding suspicious investments made during Chairman Choi’s tenure, stating that a company with a CEO who lacks the trust of the largest shareholder cannot operate normally.

Furthermore, he urged shareholders to vote against the amendment to introduce a cumulative voting system proposed by Chairman Choi’s family company, Yumi Development, at the general meeting, and to support the 14 director candidates recommended by MBK Partners.

Vice Chairman Kim concluded, "For Korea Zinc’s long-term development, the increase of shareholder value, and above all, for the respect and consideration of the lives and families of all employees, including the labor union working at Korea Zinc, we will do our utmost."

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