Bident to Discuss 'Bithumb Holdings Stock Forfeiture Preservation Deposit' at General Meeting on 23rd

Temporary General Meeting Announcement
Continued Opinion Rejection... Risk of Delisting

Vidente announced on the 8th that it will hold an extraordinary general meeting of shareholders on the 23rd at the 12th floor of Ace Highend 8th, Gasan-dong, Geumcheon-gu, Seoul.

The agenda for the day is the "Decision on the Release Deposit for the Order to Preserve Confiscation of Bithumb Holdings Shares," which was resolved at the board meeting on the 11th of last month.

The Seoul Southern District Court issued an order to preserve confiscation of the shares of Bithumb Holdings held by Vidente in March 2023. Vidente holds a 34.22% stake in Bithumb Holdings. The court judged that Vidente's shares belong to Kang Jong-hyun, who was arrested and indicted for violations of the Capital Markets Act, including fraudulent unfair trading and embezzlement. Vidente subsequently filed a third-party objection lawsuit against the confiscation preservation but lost and has been seeking ways to resolve the confiscation preservation.

Due to the confiscation preservation order prohibiting the disposal of assets, Vidente received a disclaimer of opinion from an external auditor due to "scope limitation." Taesung Accounting Corporation, which conducted the audit, stated, "We were unable to obtain sufficient audit evidence regarding the rights and obligations of the assets held by the company," and "we could not obtain appropriate audit evidence to determine the completeness and appropriateness of the scope of related parties and transactions with related parties, as well as the substance of the transactions."

As a result, Vidente failed to submit the audit reports for 2022 and 2023 to the Korea Exchange due to the disclaimer of opinion and faced the risk of delisting under Article 54, Paragraph 1 of the KOSDAQ Market Listing Regulations. The KOSDAQ Market Headquarters decided at the Corporate Evaluation Committee on May 31 to resume the delisting review by confirming improvement plans by August 31.