Korea Zinc Pulls $1.8 Billion Share Sale Plan After Probe
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Korea Zinc Co. has scrapped a planned $1.8 billion share sale, nearly two weeks after its announcement prompted a selloff in the stock and triggered an investigation by the country’s financial watchdog.
Korea Zinc said in a regulatory filing on Wednesday that it considered opinions of market participants and shareholders before making the decision. The announcement deals a blow to Chairman Choi Yun-beom’s efforts to shore up support among shareholders and employees, who stood to be allocated a fifth of the new stock. It would also delay his proposed move to pay down debt.