The management rights of Cellfie Global, a Kosdaq-listed company driven to the brink of delisting, have passed to an alliance of minority shareholders. The minority shareholder alliance, which had been in a dispute with the incumbent management, held an extraordinary shareholders' meeting this month, passed an agenda item to dismiss the existing management, and has now completed the dismissal registration.
According to the industry on the 30th, registration was completed that day at the Daegu Registry Office to remove Cellfie Global's incumbent management. Earlier, at the extraordinary shareholders' meeting, an agenda item to dismiss three members of the existing management—CEO Yu Gi-jong, inside director Lee Su-mi, and outside director Lee Guk-rae—and auditor Jeong Il-se—was approved. The existing management raised procedural objections to the meeting's decision, but with the registration completed that day, the agenda item passed at the meeting took effect.
Yun Jeong-yeop, the representative partner of Cellfie Global Shareholder Association No. 1, who has led the minority shareholder alliance, was appointed as a new inside director, and two other association members were appointed as auditors.
This minority shareholder alliance formed last year and has been locked in a power struggle with the existing management. That is because the current management, which seized control of the company through a cashless merger and acquisition (M&A) in 2022, repeatedly engaged in wrongdoing such as siphoning off company funds, driving the company into management difficulties and to the brink of delisting.
In the process, former largest shareholder An Sang-hyeon was raided after allegations arose that he diverted company funds even after all of his equity was forcibly liquidated.
Minority shareholders argue that An, the company's real owner, evaded the law for years to commit fraud, delisted several corporations, and worsened Cellfie Global's financial condition by siphoning off company funds.
Cellfie Global was pushed to the brink of delisting after receiving a "disclaimer of opinion" from an external auditor on its 2023 business report, followed by the Korea Exchange placing it under a substantive review of listing eligibility early this year. Trading in Cellfie Global shares is currently suspended.
Centering on representative partner Yun Jeong-yeop, the minority shareholders formed a shareholder alliance to secure company equity, and Associations No. 1 through No. 5 are now the largest shareholder with a 21.02% equity stake.