Kukil Paper Cancels Share Transfer Agreement with Largest Shareholder

Gukil Paper announced on the 20th that the stock transfer agreement involving a change in the largest shareholder has been canceled.

Gukil Paper stated, "The transferee (DK One) is presumed not to hold the transferred shares, which constitutes a fundamental invalidity of the contract," and "also failed to fulfill the notification obligations such as nominating new directors and auditor candidates before the regular shareholders' meeting, leading to the contract cancellation notice."

The date of the contract cancellation coincides with the day when Choi Woo-sik, the stock transferor and CEO of Gukil Paper, sent the contract cancellation certification.

Previously, on the 8th, Gukil Paper announced that it had signed a contract to sell 31,885,000 shares owned by CEO Choi Woo-sik to DK One at 1,118 KRW per share, totaling 35.7 billion KRW.

According to the payment schedule for the transfer price, on the 8th, the first payment of 9.8 billion KRW was made to CEO Choi Woo-sik, and 9,885,000 shares were transferred to DK One, as announced.

The second payment was scheduled for March 29, with 25.9 billion KRW and 22 million shares to be transferred.