Coway Issues Official Statement Responding to Align Partners' Shareholder's Proposal
- Align Partners submitted its shareholder's proposal through Seoul-based law firm Hannuri Law LLC on January 7th, 2025
- The shareholder's proposal includes a demand for the dividend rate expected to account for 90% of consolidated net income
- Coway plans to propose its own agenda for shareholder return rate based on the finalization of the company's financial statements, the progress of external audit, and the company's proposed shareholder return rate of 40%, separate from the shareholder's proposal
SEOUL, South Korea, Jan. 23, 2025 /PRNewswire/ -- Coway Co., Ltd., the "Best Life Solution Company," has issued an official response to the shareholder's proposal of Align Partners Capital Management Inc. ("Align Partners").
Align Partners submitted its proposal to Coway via Seoul-based law firm Hannuri Law LLC on January 7th, before issuing its public shareholder letter on January 16th, 2025. The company then issued a response to the shareholder's proposal through Align Partners' law firm, Hannuri, on January 21st and simultaneously posted the response on the company's investor relations (IR) website.
The shareholder's proposal requested a dividend rate that represents approximately 90% of the company's consolidated net income.
This figure significantly exceeds the target shareholder return rate of 40% as outlined in Coway's shareholder return policy announced on January 6th, which takes into consideration the company's financial stability and long-term growth.
In its response, Coway reported the receipt of Align Partners' 90% dividend rate proposal and the details thereof to its board of directors and plans to submit it to the general meeting of shareholders as per due process. The company also stated that its own agenda on a shareholder return rate will be determined and submitted separately, following a comprehensive consideration of finalized financial statements, the progress of an external audit, and the company's proposed shareholder return rate of 40% as recently announced through its fair disclosure.
Jangwon Seo, CEO of Coway, said, "We will make every effort to maximize shareholder value through continuous performance generation, and we ask for your continued trust and support for the company's sustained growth."
About Coway Co., Ltd.
Established in Korea in 1989, Coway, the "Best Life Solution Company," is a leading environmental home appliances company making people's lives healthy and comfortable with innovative home appliances such as water purifiers, air purifiers, bidets, and mattresses. The company's most recent venture, the BEREX brand, aims to improve sleep and wellness through cutting-edge mattresses and massage chairs. Since being founded, Coway has become a leader in the environmental home appliances industry, with intensive research, engineering, development, and customer service. The company has proven dedication to innovation with award-winning products, home health expertise, unrivaled market share, customer satisfaction, and brand recognition. Coway continues to innovate by diversifying product lines and accelerating overseas business in Malaysia, USA, Thailand, China, Indonesia, Vietnam, Japan, and Europe, based on the business success in Korea. For more information, please visit http://www.coway.com/ or http://newsroom.coway.com.
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