DI Dongil, which operates in the textile material and aluminum business, is preparing a shareholder return policy through its corporate value enhancement plan.
According to the financial investment industry on the 28th, DI Dongil plans to hold a regular shareholders' meeting that day and introduce a proposal to amend the articles of incorporation for the installation of an ethics management committee and an audit committee.
The establishment of this audit committee is to implement the management improvement plan submitted to the Korea Exchange in December of last year. DI Dongil faced substantial examination eligibility issues due to violations of accounting standards in November of last year and promised to establish an audit committee to enhance management transparency during the review process by the corporate review committee.
DI Dongil plans to elect one of the three commissioners through shareholder proposals. This commissioner will oversee the company's management on behalf of minority shareholders.
The board of directors, which makes decisions on management matters, will also enhance transparency and professionalism. The plan is to expand the majority of directors to include outside directors to ensure management transparency. Previously, the board consisted of five inside directors and three outside directors. To strengthen the diversity of the board, it has been decided that one of the outside directors will be a woman.
Additionally, at the shareholders' meeting that day, DI Dongil will address a proposal to add 'manufacture, processing, and sales of aluminum products' to its business objectives. Since the aluminum business is overseen by its subsidiary Dongil Aluminum, this is interpreted as being intent on a merger by absorption.
The merger by absorption of Dongil Aluminum has been a demand from minority shareholders. Ahead of last year's regular shareholders' meeting, minority shareholders requested the dismissal of the auditor and the merger by absorption of Dongil Aluminum as a shareholder proposal. Subsequently, DI Dongil secured 99.77% equity by acquiring 487,500 shares (9.38% equity) of Dongil Aluminum held by KB Kookmin Bank in November of last year.