DAEHO AL's extraordinary general meeting proposes dismissal and full replacement of all directors and auditors... Uncertainty over management change and potential damage to shareholder value
A minority shareholder proposal calls for the dismissal of all 7 current directors (inside directors Kim Young-dae, Lee Hae-eun, Byun Chan-ho, Kim Yong-mook, Lee Sang-eok, and outside directors Daniel Oh, Moon Young-kwon) and 2 auditors (Song Hak-dong, Oh Won-yong) at the extraordinary general meeting on June 11, 2026.
The grounds for dismissal are stated as 'violation of duty of care and loyalty by current management and misappropriation of company assets/funds', indicating serious internal strife and allegations of fund misuse.
The minority shareholder side proposes the appointment of 7 new directors (Jung Hee-kyun, Lee Gyu-yeol, Ahn Dong-ho, Lee Ho-cheol, Kim Pan-gyu, Kim Se-na, Lee Yoon-woong) and 1 auditor (Park Byung-sun), escalating the management dispute.
The company's board separately proposes the appointment of 3 outside directors (Park Won-tae, Hong Jung-woo, Im Seung-hee) and a standing auditor (Oh Won-yong), creating a confrontational stance.
Amendments to the articles of incorporation (limiting the number of directors to 4 or less, requiring at least one-third independent directors, strengthening director liability) are also on the agenda, potentially undermining management stability.
The board has held frequent meetings from January to May 2026, dealing with 'emergency committee formation', 'dismissal of CEO', 'stock consolidation', and 'convertible bond issuance', reflecting prolonged management instability.
With a current market cap of approximately KRW 46.3 billion and a stock price of KRW 2,660, the deep valuation and intensifying management dispute could trigger further stock price declines.
The unprecedented simultaneous dismissal and reappointment of all directors and auditors raises the risk that market perception will focus on power struggles rather than corporate normalization.
KOSPI Filing Information
Filing: Notice of Convocation of Shareholders' Meeting