Korea Zinc completes share sale of 2.85 trillion won to Crucible JV – Reuters

Korea Zinc Co. Ltd. has completed the sale of new shares worth 2.85 trillion South Korean won to the Crucible joint venture, Reuters reported Dec. 26.

This follows a South Korean court's dismissal of an injunction filed by private equity firm MBK Partners and conglomerate Young Poong Corp. to block Korea Zinc from issuing new shares to finance the $7.4 billion nonferrous metals smelter project in the US.

Korea Zinc earlier welcomed the court's decision, saying it will proceed with the project to boost corporate and shareholder value.

However, MBK and Young Poong, key shareholders in Korea Zinc, have previously expressed disappointment with the court's decision, raising concerns about possible shareholder dilution and the equity of the investment terms. They will also continue pressing Korea Zinc's management to address their concerns.

Young Poong is Korea Zinc's largest shareholder, holding 26.1% of outstanding shares, according to S&P Global Market Intelligence data.

MBK and Young Poong have been embroiled in a prolonged dispute over control of Korea Zinc following their takeover attempt in September 2024.

As of Dec. 26, US$1 was equivalent to 1,440.73 South Korean won.