• Investing
  • Stock
  • Editor’s Pick
  • Economy
The Significant Deals
Stock

Korea Zinc shares dive after announcing $1.8 billion new stock issuance

by October 30, 2024
written by October 30, 2024

SEOUL (Reuters) -Shares in Korea Zinc fell as much as 29.9% to their daily lower limit in Wednesday’s trade, after the world’s top zinc refiner announced a plan to issue new stock worth 2.5 trillion won ($1.81 billion).

Run by the Choi family, Korea Zinc has been in a bitter fight to control the $18 billion zinc empire with the co-founding Chang family, whose conglomerate Young Poong made an initial joint offer with MBK in September.

Korea Zinc said in a regulatory filing its board decided on Wednesday to issue some 3.73 million shares at 670,000 won per share. This was 57% lower than Tuesday’s closing price of 1,543,000 won.

Korea Zinc will allocate 20% of the newly issued shares to its employee ownership association, which experts say could boost the number of shares friendly to current management.

The surprise move came after Korea Zinc bought back 9.85% of the company’s shares for 890,000 won each in a $1.5 billion buyback that it launched to block shareholders from selling their stakes to its top investor Young Poong and private equity firm MBK.

Korea Zinc said the new share issuance will broaden the company’s shareholder base and reduce the risks of the “national company” being delisted from the stock market.

The company said out of the 2.5 trillion won in funds to be raised, 2.3 trillion won would be used to pay off debt.

The new shares will be listed on Dec. 18, the filing said. 

($1 = 1,382.9400 won)

This post appeared first on investing.com
0 comment
0
FacebookTwitterPinterestEmail

previous post
Asia shares stumble on China headwinds; gold and bitcoin buoyant
next post
US economy seen shining on election eve amid robust consumer spending

You may also like

BASF results down on impairments, restructuring

January 27, 2025

European chipmakers slump as traders gauge DeepSeek AI...

January 27, 2025

Nasdaq futures tumble as China’s AI push rattles...

January 27, 2025

China Vanke’s CEO, chairman resign amid growing liquidity...

January 27, 2025

Fuji Media, rocked by sexual misconduct allegations, says...

January 27, 2025

Italy’s MPS shares fall ahead of Mediobanca board...

January 27, 2025

British Land stock drops following stake sale

January 27, 2025

UMG shares rally after new multi-year pact with...

January 27, 2025

BASF shares indicated 3% lower as impairments drag...

January 27, 2025

Ryanair cuts 2026 traffic forecast amid ongoing Boeing...

January 27, 2025
Fill Out & Get More Relevant News








    Stay ahead of the market and unlock exclusive trading insights & timely news. We value your privacy - your information is secure, and you can unsubscribe anytime. Gain an edge with hand-picked trading opportunities, stay informed with market-moving updates, and learn from expert tips & strategies.

    Recent Posts

    • Divided Fed proposes rule to ease capital requirements for big Wall Street banks

      June 26, 2025
    • Women’s Tennis Association extends media rights deal with Tennis Channel through 2032

      June 26, 2025
    • Bumble shares jump 26% as dating company plans to axe 30% of workforce

      June 26, 2025
    • Small-business AI use is lagging, but one firm is channeling Sherlock Holmes and knocking out ‘grunt work’

      June 25, 2025

    Categories

    • Economy (245)
    • Editor's Pick (3,646)
    • Investing (534)
    • Stock (6,426)

    Latest News

    • Divided Fed proposes rule to ease capital requirements for big Wall Street banks
    • Women’s Tennis Association extends media rights deal with Tennis Channel through 2032

    Popular News

    • US House passes massive defense policy bill, despite transgender provision
    • Morning Bid: Fleeting respite from yields, dollar; Indonesia sets rates

    About The Significant deals

    • Privacy Policy
    • Terms & Conditions

    Copyright © 2025 thesignificantdeals.com | All Rights Reserved

    The Significant Deals
    • Investing
    • Stock
    • Editor’s Pick
    • Economy