Business · Companies · 50 mins ago
Young Poong loses 836.9 billion won damages case against Korea Zinc chief
A South Korean court rejected Young Poong’s 836.9 billion won damages case against Korea Zinc chairman Choi Yoon-beom and 10 directors.
Young Poong argued that Korea Zinc suffered losses from a public tender offer to buy back its own shares.
The buyback was intended to defend Korea Zinc’s management control.
The case concerns a decision by the company’s board at the time.
The court found that the board stayed within its business judgment discretion in approving the offer.
The ruling is a first-instance decision, and the stated information does not say what happens next.
A Seoul court ruled against Young Poong Corp. in its shareholder derivative lawsuit seeking damages over Korea Zinc’s purchase of its own shares.
The suit sought about 836.9 billion won from Korea Zinc Chairman Choi Yun-beom and other directors.
Young Poong argued that the tender offer price was far above the shares’ actual price at the time.
The court found that the directors had not violated their managerial duties and that the action did not breach the Commercial Act or the company’s articles of incorporation.
- Who
- Young Poong Corp. sued Korea Zinc Chairman Choi Yun-beom and other company directors.
- What
- A court rejected Young Poong’s shareholder derivative lawsuit seeking damages over Korea Zinc’s tender offer to buy its own shares.
- When
- The court ruled on Oct. 22, 2026. Young Poong filed the suit in November 2024.
- Where
- Seoul Central District Court, South Korea.
- Why
- Young Poong claimed the directors caused losses by buying shares at 890,000 won apiece when the actual price was around 560,000 won.
Young Poong Corp.
Korea Zinc directors
Tender offer
Young Poong Corp.
Young Poong argued the directors caused company losses by offering 890,000 won per share when the actual price was around 560,000 won.
Korea Zinc directors
The court found the directors had not violated their managerial duties, citing steps taken before the purchase.
Legality
Young Poong Corp.
Young Poong sought damages over the directors’ decision to buy the company’s own shares.
Korea Zinc directors
The court ruled that the action did not violate the Commercial Act or the company’s articles of incorporation.
Young Poong filed the shareholder derivative lawsuit.
Seoul Central District Court ruled against Young Poong.
- Damages sought
- About 836.9 billion won; Yonhap reported the amount as 837 billion won
- Defendants
- Choi Yun-beom and other Korea Zinc directors
- Tender offer price
- 890,000 won per share
- Actual share price
- Around 560,000 won
- Court
- Seoul Central District Court