Korea Zinc board restructured following management rights vote

Korea Zinc held an extraordinary general meeting on June 9 to resolve a management rights dispute between current Chairman Choi Yun-beom and the alliance of Young Poong and MBK Partners. The meeting focused on appointing five new directors and a separate audit committee member.

Following the vote, the board of directors has been restructured to 19 members, consisting of 12 members aligned with Chairman Choi and 7 members aligned with the Young Poong and MBK Partners faction. Notably, Baek In-gyu, a candidate recommended by the Choi faction, was elected as the audit committee member after a contested vote where the ‘3% rule’ limited the influence of major shareholders.

While the Choi faction maintained a majority on the board, Young Poong and MBK Partners stated they respect the shareholders' decision. However, they emphasized that the newly formed board must investigate various allegations against Chairman Choi, including claims regarding the use of company funds for private investments and issues related to internal controls and accounting practices.