Korea Zinc: "Young Poong and MBK Are Even Distorting Court Procedures"

Korea Zinc Asserts Document Submission Order Is a 'Routine Verification Procedure'

Korea Zinc has pushed back against the various allegations raised during its management rights dispute with Young Poong and MBK Partners, stating that "even the normal procedures of the court are being distorted."

On the 27th, Korea Zinc said, "Fund investment and capital management have been conducted as normal financial activities in accordance with relevant laws, internal procedures, and reasonable management decisions," adding, "Young Poong and MBK are overinterpreting the court's procedural steps for fact-finding as if their claims have already been recognized." The company further clarified, regarding the recent document submission order by the Seoul Central District Court, that "this is one of the routine procedures to verify relevant materials in the course of a shareholder representative lawsuit."

Young Poong and MBK argue that the document submission order issued to Korea Zinc by the Seoul Central District Court constitutes key evidence to confirm the structure for defending management rights and the process of restricting voting rights. In response, Korea Zinc countered that it was a standard external advisory.

The conflict between Korea Zinc and Young Poong·MBK has turned into a legal battle following a management rights dispute that began in 2022. Young Poong and MBK claim that Korea Zinc acquired Young Poong shares through its Australian affiliate and, based on this, restricted Young Poong's voting rights at the regular general shareholders' meeting. In contrast, Korea Zinc maintains that its actions were a legitimate response aimed at preventing the destruction of corporate value due to a hostile takeover attempt.

A Korea Zinc official stated, "This exhausting dispute over the same issue has been going on for three years," and added, "It is putting a burden on the company's stable management."

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