[비즈한국] With the extraordinary shareholders' meeting that will settle the management dispute at Daeyang Metal009190 only one week away, the minority shareholders' solidarity of Daeyang Metal and its equity-related company, Young Poong Paper006740, have actively welcomed the acquisition by KH Group. This effectively means that the minority shareholders' groups, which had previously maintained a neutral stance regarding the power struggle between the new and existing major shareholders, have now sided with the KH Group investment consortium.
On the 25th, the representative of Daeyang Metal's minority shareholders' solidarity stated, "After considering various factors, including the company's financial situation, management risks, and future growth potential, we concluded that supporting the KH Group's acquisition at the extraordinary shareholders' meeting on the 30th is in the best interest of the shareholders," adding, "As this decision was made after several votes among the minority shareholders, we hope it will contribute to the normalization of Daeyang Metal and the benefit of its shareholders."
Furthermore, the Young Poong Paper minority shareholders' solidarity, which had been demanding the resignation of management since the stock manipulation scandal involving Daeyang Metal's affiliate, has also joined in supporting the KH Group acquisition.
The representative of the Young Poong Paper minority shareholders' solidarity said, "As the intentions of both groups are aligned, we hope that the management will be replaced through the extraordinary shareholders' meeting on the 30th to realize the normalization of shareholder value."
With the minority shareholders' solidarity—previously seen as holding the casting vote in the battle between existing management and KH Group—declaring their support for KH, the KH Group has secured a favorable position in its attempt to take over management of Daeyang Metal.
KH Group began rapidly increasing its stake through market purchases last July, formalizing its intent to acquire Daeyang Metal. Within two months, by the end of September, they had secured a 17.87% stake including special relations, becoming the largest shareholder of Daeyang Metal.
Amidst this, it was discovered that Daeyang Holdings Company, the existing largest shareholder of Daeyang Metal, had pledged 6 million shares of Daeyang Metal preferred stock as collateral to two institutions, including a savings bank, and violated reporting obligations by failing to disclose this fact to the stock exchange. On the 23rd, the Hongseong Branch of the Daejeon District Court ruled that "Daeyang Holdings Company may not exercise voting rights for the 4,344,501 preferred shares of Daeyang Metal it holds at the extraordinary shareholders' meeting to be held on the 30th."
An official from the investment industry assessed, "It appears that the minority shareholders' solidarity, considering this series of circumstances, judged that the existing management cannot operate the company normally and have agreed on a 'management reshuffle.' After watching the standoff between the emerging major shareholder and the existing one, they seem to have sided with the KH Group investment consortium following this court ruling."
Meanwhile, KH Group is a corporate group consisting of specialized manufacturing companies such as KH Filux033180 and Jangwon Tech174880. In particular, KH Filux serves global home appliance brands like Samsung Electronics005930, LG Electronics, GE, and Haier, as well as world-renowned luxury brands including Prada, Balenciaga, and Coach, in the fields of electronic materials/parts, automotive electronics, and lighting. Jangwon Tech supplies brackets for Samsung Galaxy smartphones and tablets, and provides parts to global automotive companies such as Hyundai-Kia, BMW, Volvo, Mercedes-Benz, and Porsche.
KH Group emphasized, "We possess a robust global supply system with manufacturing plants and offices capable of performing all processes from development to production and supply in China, Southeast Asia, North America, and Japan, alongside our competitive global sales network. After acquiring Daeyang Metal, we will utilize the global sales network and competitiveness of KH subsidiaries to reduce costs, increase efficiency, create synergy for value-added and revenue growth, and contribute to the development and technological advancement of Daeyang Metal."
They added, "We plan to maximize synergy by enhancing competitiveness in our core fields and carefully reviewing our new business portfolio. We will concentrate all our capabilities to enhance the value and interests of the shareholders who have trusted and supported KH Group."