Overview

• Korea Zinc announced a plan to issue new shares worth approximately $1.8 billion, leading to significant investor concern.
• The decision is seen as a strategy to counter a takeover attempt by Young Poong and MBK Partners.
• Shares of Korea Zinc have dropped sharply, falling 23.2% on Thursday following a 29.9% drop on Wednesday.
• South Korea's Financial Supervisory Service is investigating the issuance for possible unfair practices and accounting fraud.
• The watchdog may require Korea Zinc to revise its share issuance plan if any major omissions affecting investors are found.