Korea Zinc (KRX:010130), a global leader in the production of non-ferrous metals and a key player in critical supply chains, today issued a statement addressing the ongoing hostile takeover attempt by MBK Partners. The company reaffirmed its steadfast commitment to protect shareholder value and maintain market stability in the face of this challenge.

Korea Zinc voiced strong concerns over MBK’s actions, labeling them as market manipulation, and called for immediate withdrawal of their tender offer and related legal actions. The company remains resolute in completing its court-approved treasury stock buyback, a central part of its ongoing efforts to enhance shareholder value.

A full statement from Korea Zinc is attached below:

Korea Zinc Official Statement

Today’s announcement by MBK Partners, confirming they will not raise their current offer of KRW 830,000 per share for Korea Zinc, is a continued attempt to lure the investors by extending their tender offer until October 14, without abandoning the hostile M&A bid they launched on September 13. MBK is exploiting the fact that our court-approved treasury stock buyback, granted on October 2, expires after October 14. Furthermore, they are leveraging the timing of the decision on the second preliminary injunction—which merely reiterates the previous application—expected after October 14. This message essentially aims at misleading investors into participating in MBK's tender offer by implying that our buyback may be blocked.

This constitutes another clear case of market manipulation, intended to disrupt the company’s lawful and valid buyback process.

If MBK and Young Poong are genuinely concerned about Korea Zinc’s corporate value and shareholder interests, and truly wish to rectify the market instability they have caused, they should:

1. Withdraw their hostile tender offer lawfully before October 14, rather than prolonging it
2. Withdraw their baseless second preliminary injunction aimed at obstructing our court-approval buyback

Korea Zinc remains fully committed to completing the ongoing buyback and cancellation process, as approved by the court, to enhance shareholder value and return profits to our shareholders through the acquisition and cancellation of shares.

We believe this is the best and only course of action to minimize disruption in the capital markets, mitigate stock price volatility, and ensure market stability and investor protection once this situation is resolved.

To swiftly stabilize the market, protect investors from ongoing hostile and predatory actions, and safeguard the company and its employees, Korea Zinc will proceed with completing the buyback and cancellation of treasury shares.

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