[Alpha Biz= Paul Lee] ACT, a shareholder activism platform, announced on August 21 that minority shareholders of battery manufacturer Sebang Battery are reviewing legal action, including filing a complaint with the Financial Supervisory Service (FSS), over the company’s decision to dispose of treasury shares.
The dispute arose after Sebang Battery decided to allocate treasury shares worth 12.2 billion won as bonuses to executives and employees.
The minority shareholder group criticized the move, arguing that while the company has delayed announcing shareholder return measures, it disposed of an unusually large portion of treasury shares—equivalent to 1.3% of total outstanding shares—causing equity dilution and downward pressure on the stock price.
The group also expressed suspicion that the decision was aimed at preemptively avoiding potential obligations under a proposed amendment to the Commercial Act, which would mandate the cancellation of treasury shares. They declared their intent to pursue all possible measures to hold management legally accountable.
Alphabiz Reporter Paul Lee(hoondork1977@alphabiz.co.kr)
