South Korea to submit revised invoice aimed toward higher defending minority shareholders

SEOUL (Reuters) – South Korea’s monetary regulator stated on Monday it might work with the ruling celebration to place ahead a revised invoice of the Industrial Act this week aimed toward higher defending the rights of minority shareholders.

The Monetary Companies Fee stated the federal government’s proposal seeks to make it obligatory for listed firms to hunt exterior valuation of any mergers or acquisitions, to higher defend the rights of minority shareholders in opposition to these of controlling shareholders.

The federal government has been pushing listed firms to voluntarily enhance shareholder return and make firm boards extra accountable to stockholders, as analysts typically cite poor company governance as one issue behind the native fairness market’s underperformance in comparison with international indexes.