A smelter of Korea Zinc. The company is scheduled to hold a high-stakes shareholders’ meeting Tuesday. Photo by Korea Zinc
SEOUL, March 20 (UPI) — Korea Zinc’s incumbent management and its major shareholder, Young Poong, are locked in a fierce showdown ahead of a regular shareholders’ meeting Tuesday.
The world’s largest non-ferrous metal producer said Friday that it posted record sales and profits last year, which led to high dividends and other shareholder-friendly policies.
Citing the strong performance, Korea Zinc has called for the leadership continuity, as the 2026 shareholders’ meeting would select at least five board members out of 15 seats. The term of Chairman Yun B. Choi is also set to expire.
“We believe that our continued efforts to improve corporate governance and expand shareholder returns have laid the foundation to steadily grow our business and operate our organization in a stable manner,” the firm said in a statement.
But, Young Poong argued that proxy advisers and the National Pension Service, another key Korea Zinc shareholder, have effectively supported its position by opposing the reappointment of Choi as an inside director.
According to Young Poong, such decisions suggest that “this is no longer merely a management control dispute, but judgment over potential structural flaws in corporate governance and failures of oversight.”
Since early 2025, Korea Zinc has been fighting to repel an aggressive takeover bid from Young Poong, which has teamed up with the country’s leading private equity firm, MBK Partners.
The battle came to a head at the March 2025 shareholders’ meeting, and another high-stakes clash is looming at this month’s gathering.
Each side reportedly controls roughly 40% of the voting shares, while NPS holds a 5.2% stake.
Meanwhile, the labor union at Korea Zinc expressed strong support for the current board, urging the NPS to immediately reverse its decision.
“We will fight to the end to prevent the dark hand of speculative capital from tainting our sacred workplace at this shareholders’ meeting,” the union said in a statement.
“If our warning is ignored and the company is undermined, we will mobilize all possible means, including a general strike, to wage an all-out struggle,” it said.