Korea Zinc, Homeplus unions form united front against MBK Partners

The unions of Korea Zinc and Homeplus joined forces to condemn private equity firm MBK Partners, demanding that it immediately halt its hostile takeover bid for Korea Zinc and resolve the crisis engulfing Homeplus. 

The two parties also urged the government and the ruling Democratic Party to prevent MBK Partners from attempting to seize control of Korea Zinc, an act that they claim would harm national security. 

"Korea Zinc, the world's leading nonferrous metals smelter and a critical national industry, is on the verge of becoming a playground for speculative capital," said Lee Eun-seon, head of Korea Zinc's union, in a joint press conference held at Gwanghwamun Square in central Seoul on Tuesday. He added that "MBK's hostile takeover attempts constitute an antinational act that would undermine the competitiveness of our core industries."

Lee added that "if MBK gains control of Korea Zinc, the job insecurity that Homeplus workers are living through will become a reality for us as well."

MBK in 2024 teamed up with Young Poong to acquire Korea Zinc, a bid that has since been met with fierce resistance from Chairman Choi Yoon-beom and the company's union.

MBK acquired Homeplus in 2015 for 7.2 trillion won ($4.6 billion), but mismanagement and a prolonged retail downturn left the company a shadow of its former self. 

"We work at different companies, but we are suffering under the same capital greed," said Ahn Soo-yong, head of the Homeplus union. "This is a grave livelihood issue affecting hundreds of thousands of workers," adding that MBK must "immediately stop its corporate predation and asset-stripping, and fulfill its responsibilities."

The two unions pledged to forge a continuous united front against MBK, vowing to stand together in solidarity until the end.

BY SARAH CHEA   [[email protected]]