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    A033780   KR7033780008

KT&G CORPORATION

(A033780)
  Report
End-of-day quote Korea Stock Exchange  -  2023-03-20
89900.00 KRW   -0.77%
03/17Glass Lewis Supports KT&G Corporation Nominations
CI
03/17Proxy advisor Glass Lewis recommends KT&G investors re-elect company directors
RE
03/16Kt&g : finding eco-friendly beauty entrepreneur, ‘2023 KOCO Challenge' contest
PU
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Proxy advisor ISS recommends KT&G investors back activists director nominees

03/16/2023 | 12:34pm EDT
Illustration shows KT&G logo

NEW YORK (Reuters) - Proxy advisor Institutional Shareholder Services (ISS) on Thursday urged investors in Korean tobacco conglomerate KT&G to elect director candidates nominated by two activist investors and support their proposals to return more cash to shareholders.

KT&G, previously known as Korea Tobacco & Ginseng, is facing pressure from Flashlight Capital and ANDA Asset Management who are pushing the company to announce bigger dividends and additional share buybacks, spin off the ginseng business, and optimize its balance sheet. The two investment firms are not working together.

ISS said investors should elect Flashlight Capital's two nominees Suk-Yong Cha and Ou-Jin Hwang and they should also back Doreen Kim, one of the three candidates suggested by ANDA.

Given "our support for the dissident's share buyback and dividend proposals, the election of three additional directors with relevant consumer, marketing, supply chain and capital allocation experience is the right path forward," ISS wrote.

ISS noted that the company's stock price has underperformed peers and has fallen more than 10% since an investor day in January.

Flashlight Capital, founded by former Carlyle Group executive Sanghyun Lee, wants the company to raise its dividend and increase the frequency of payouts to once a quarter from once a year, among other proposals. ANDA is also pushing the company to increase the size of its board to 10 members from eight.

"Shareholders have suffered for too long," Lee said in a statement, adding he is pleased that ISS recommended that investors vote for all ten of his firm's proposals.

Large investors often follow the recommendations of proxy advisory firms including ISS and its smaller rival Glass Lewis.

First Eagle Investment Management, BlackRock and Vanguard Group rank among KT&G's biggest investors. The meeting date is scheduled for March 28.

(Reporting by Svea Herbst-Bayliss;Editing by Elaine Hardcastle)

By Svea Herbst-Bayliss


ę Reuters 2023
Stocks mentioned in the article
ChangeLast1st jan.
BLACKROCK, INC. 2.89% 662.15 Delayed Quote.-6.56%
KT&G CORPORATION -0.77% 89900 End-of-day quote.-1.75%
LG H&H CO., LTD. 3.50% 592000 End-of-day quote.-18.01%
THE CARLYLE GROUP INC. 4.69% 31.71 Delayed Quote.6.27%
All news about KT&G CORPORATION
03/17Glass Lewis Supports KT&G Corporation Nominations
CI
03/17Proxy advisor Glass Lewis recommends KT&G investors re-elect company directors
RE
03/16Kt&g : finding eco-friendly beauty entrepreneur, ‘2023 KOCO Challenge' contest
PU
03/16Institutional Shareholder Services Supports Flashlight Capital
CI
03/16Proxy advisor ISS recommends KT&G investors back activists director nominees
RE
03/16K-TIG Raises AU$2 Million Via Convertible Bonds Offer
MT
03/15Flashlight Capital Urges KT&G Corporation Shareholders to Vote For All of its Proposals
CI
03/13KT&G Board of Directors Sends Letter to Shareholders
CI
03/09Kt&g : Announces the Finalists of the “6th Sangsang Stage Challenge”
PU
03/07Kt&g : provides congratulatory gifts to employees' children who enter primary, middle and ..
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More news
Financials
Sales 2023 6 173 B 4,73 B 4,73 B
Net income 2023 1 007 B 0,77 B 0,77 B
Net cash 2023 1 473 B 1,13 B 1,13 B
P/E ratio 2023 11,0x
Yield 2023 5,67%
Capitalization 10 454 B 8 008 M 8 008 M
EV / Sales 2023 1,45x
EV / Sales 2024 1,33x
Nbr of Employees -
Free-Float 84,5%
Chart KT&G CORPORATION
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Technical analysis trends KT&G CORPORATION
Short TermMid-TermLong Term
TrendsBullishBearishNeutral
Income Statement Evolution
Consensus
Sell
Buy
Mean consensus BUY
Number of Analysts 15
Last Close Price 89 900,00 KRW
Average target price 106 500,00 KRW
Spread / Average Target 18,5%
EPS Revisions
Managers and Directors
Bok-In Baek President, Chief Executive Officer & Director
Gyeong-Bo Kang Managing Director & Head-Finance
Chi-Beom Oh Senior Managing Director, Head-R&D
Eop-Kyo Song Independent Director
Hae-Soo Yoon Independent Director
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