Huons Global has begun engaging with shareholders regarding its plans to merge with its subsidiaries. On June 4, the company held a meeting at its headquarters in Seongnam to discuss the merger of Huons and Huons Lab.
The meeting aimed to explain the rationale behind the merger and gather shareholder feedback. Attendees raised questions about the appropriateness of the merger ratio and the future strategy for the biotechnology business.
Company representatives stated that merging Huons, which has strong cash generation capabilities, with Huons Lab, which possesses advanced biotechnology platform technology, is essential for securing the group's growth foundation. They emphasized that the merger would enhance research and development (R&D) capabilities and allow Huons Lab to accelerate technology transfer through stable funding.
Regarding the valuation and timeline for the merger, the company expressed its commitment to incorporating shareholder opinions into the decision-making process.
Huons Global plans to hold an extraordinary general meeting on July 3 to determine how voting rights will be exercised concerning the merger. The company is also considering measures to limit the voting rights of major shareholders and related parties.
Additionally, the company is reviewing plans for shareholder returns. During the meeting, Huons Global's board requested that shareholders elect a representative to facilitate smooth communication. The company aims to actively engage with this representative to develop its shareholder return strategy.
Previously, the company reiterated that it has no current plans for major shareholder equity gifts and that claims linking the merger to succession are unfounded. CEO Song Soo-young stated, "We will ensure that shareholder opinions are accurately reflected in management decisions and will continuously seek transparent management and ways to enhance shareholder value."
* This article has been translated by AI.
Copyright ⓒ Aju Press All rights reserved.