Korea Zinc Co. announced it is reconsidering a $1.8 billion share sale plan following significant pushback from regulators and investors. This update comes after the share sale plan, proposed shortly after a substantial buyback, sparked an investigation and led to a stock sell-off.
The company stated during its quarterly earnings call that it is "seriously considering" investor concerns and will provide further updates after more internal discussions. Reports suggest that Korea Zinc’s board may reach a decision by Wednesday.
The proposed share issue would see shares sold at 670,000 won each — a 33% discount to the market price — with proceeds earmarked for debt repayment. However, investors view the sale as an effort to bolster shareholder support in a months-long battle between major shareholder factions.
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