Korea Zinc to Conduct Open Buyback of Treasury Shares at 830,000 KRW per Share Starting from the 4th

Korea Zinc, which is in a management rights dispute with Youngpoong and MBK Partners, has launched a counterattack through a tender offer for its own shares. The tender offer price proposed by Korea Zinc is 830,000 KRW, which is 80,000 KRW higher than the 750,000 KRW previously offered by Youngpoong and MBK.

On the 2nd, Korea Zinc announced that it will acquire 3,209,009 common shares through a tender offer for treasury stock. This accounts for about 15.5% of the total issued shares. The expected acquisition amount is 2.6635 trillion KRW. The treasury shares acquired through the tender offer will be entirely canceled to enhance shareholder value.

Choi Yoon-beom, Chairman of Korea Zinc, is speaking about the management rights dispute at a press conference held on the afternoon of the 2nd at the Grand Hyatt Hotel in Yongsan-gu, Seoul.
[Photo by Lee Sung-min]

The tender offer is being conducted jointly with a global private equity fund (PEF) and Bain Capital. Bain Capital will acquire up to 517,582 shares, which is about 2.5% of the total issued shares. Combining the shares acquired by Bain Capital and Korea Zinc amounts to approximately 18%.

The tender offer for treasury shares is scheduled to take place from the 4th to the 23rd.