Logo of Korea Zinc at its headquarters in Jongno, Seoul (Korea Zinc) Korea Zinc, the world's biggest refined zinc smelter, said it achieved full compliance with all 15 core corporate governance indicators in 2025, improving from the previous year and significantly outpacing rival Young Poong amid an ongoing battle for management control.According to the company's 2025 Corporate Governance Report released earlier this week, Korea Zinc posted 100 percent compliance with the Korea Exchange’s core governance indicators, up from 80 percent in the 2024 report.The company said it addressed all previously unmet items, including issuing shareholders meeting notices at least four weeks in advance, avoiding holding annual general meetings on peak scheduling dates and enhancing the predictability of cash dividend payments.Korea Zinc issued the announcement for its 52nd annual general meeting 29 days before the event and offered both electric voting and proxy solicitation services to improve shareholder participation. The company said it also expanded English disclosures to better serve foreign investors and improve their access to company information.The firm's dividend policy was revised in a shareholder-friendly manner. Korea Zinc said its board now determines cash dividend amounts before setting the dividend record date for both annual and quarterly dividends, allowing investors greater visibility regarding payouts.The company also received favorable assessments for board independence and diversity. An outside director serves as chair of the board, while independent directors account for a majority of board members. The board includes four female directors and two foreign nationals.The company also adopted cumulative voting beginning in 2025, a move intended to strengthen minority shareholder rights.By contrast, Young Poong — Korea Zinc’s largest shareholder alongside private equity firm MBK Partners — recorded a governance compliance rate of 60 percent, unchanged from the previous year, according to its filing.The company did not meet six governance indicators, including issuing shareholder meeting notices four weeks in advance, avoiding shareholders meeting concentration dates, improving dividend predictability, establishing a chief executive succession policy, adopting cumulative voting and implementing policies to prevent the appointment of executives responsible for actions that damage corporate value or shareholder rights.Young Poong's report also showed that no meetings exclusively for outside directors were held last year, compared with Korea Zinc's four such meetings.The company said separate meetings among outside directors were unnecessary because their opinions are respected and their independence is sufficiently guaranteed within the existing board structure.Young Poong also does not conduct individual evaluations of outside directors.The company explained that such assessments could create political tensions within the board because only the four outside directors, excluding two internal directors, would be subject to evaluation.However, some industry officials questioned the approach, noting that individual evaluations of outside directors are widely regarded as a key governance mechanism for enhancing board accountability and independence.The governance issue has taken on added significance as Korea Zinc remains locked in a proxy fight with Young Poong and MBK Partners.The Young Poong-MBK alliance controls about 46 percent of Korea Zinc's shares and has sought to challenge Korea Zinc Chair Choi Yun-beom's control since launching a tender offer in September 2024. Corporate governance has emerged as a key issue in the battle as both sides seek the support of shareholders.