Didim E&F Announces Employee Council and Franchisee Statement: "Support Current Management, Will Protect Company Together"

Didim E&F employees and franchise representatives expressed their strong support for the current management on the 23rd through submitting petitions to the court and investigative agencies, as well as issuing statements.

Company employees and franchise owners stated in their statement that the lawsuits, which are being conducted with the illegal intent of seizing management rights, are causing difficulties in the company's financing. As a result, the damage to 350 company employees, partner companies, and franchise stores is growing like a snowball.

Former employees of Didim E&F provided financial support through the employee stock ownership association when the company was struggling, and some executives also lent a considerable amount of money to the company as loans. The current management, who were the largest shareholders in the past, have also directly invested in the company through paid-in capital increases and convertible bond (CB) acquisitions.

The employee council stated, “We strongly oppose the hostile acts by those who have not invested even 10 won in the company and seek to take control of the company for personal greed,” and declared, “We will protect the company together with the current management until the end.” They also aim to inform shareholders and the court of the current situation through this strong statement of support to safeguard the company.

Recently, in the ‘Preliminary Injunction for Confirmation of Status as Inside Director’ lawsuit filed by Mr. Ahn Sang-hyun and the directors he appointed, Didim E&F won the case with a dismissal ruling. However, the case is currently under appeal at the Incheon branch of the Seoul High Court. Additionally, Insert One Co., Ltd., which holds 10 shares, has filed a preliminary injunction to prohibit new share issuance through the law firm Kim & Jeon. The individual largest shareholder, Mr. Kim Sang-hoon, is expected to initiate another management dispute in the future by applying to inspect the shareholder register.

The employee council added, “It is unreasonable to accept actions such as those by Insert One, which has filed various lawsuits against the company with only 10 shares,” and “Although it is true that the company is currently struggling due to multiple lawsuits, this is the time to unite even more.”