LG Uplus (032640.KS), a major South Korean telecom carrier, has removed the cumulative voting exclusion clause from its articles of incorporation. The move aims to strengthen minority shareholder rights ahead of a commercial law revision scheduled for September.
LG Uplus held its 30th annual general meeting of shareholders on Wednesday morning at its headquarters in Yongsan-gu, Seoul, and approved all proposed agenda items as originally submitted, including the amendment to the articles of incorporation.
A total of six agenda items were presented at the meeting: △approval of the 30th fiscal year financial statements, △approval of amendments to the articles of incorporation, △appointment of directors, △appointment of outside directors serving as audit committee members, △appointment of audit committee members, and △approval of the ceiling on director compensation.
LG Uplus said it removed the cumulative voting exclusion clause through the amendment, taking into account the upcoming commercial law revision and the protection of minority shareholder rights. Cumulative voting is a system that grants shareholders voting rights equal to the number of directors to be elected per share held during the director appointment process. The company also increased the number of separately elected audit committee members from one to two, limiting the influence of major shareholders.
The company reported consolidated revenue of 15.4517 trillion won and consolidated net profit of 509.2 billion won for last year. The year-end dividend was set at 410 won per common share, as decided by the board of directors in January. Total annual dividends were set at 660 won per share, an increase of 10 won from the previous year.
Regarding director appointments, Vice President Yeo Myung-hee, who serves as Chief Financial Officer and Chief Risk Officer, was reappointed as an inside director. Lee Sang-woo, head of LG Corporation's corporate strategy division, was newly appointed as a non-executive director.
Eom Yun-mi, a registered director of the CIAT Foundation, was reappointed as an audit committee member and outside director. Song Min-seob, a professor at Sogang University's School of Business and an accounting and finance expert, was also newly appointed.
LG Uplus CEO Hong Beom-sik said in his opening remarks, "We will make this a year of building successful experiences together with customers based on trust. We will innovate customer experiences by making quality, security and safety our top management priorities, and faithfully execute plans to expand high-value B2B AX business and enhance corporate value."
In response to a question from the floor about the company's shareholder return policy, Hong said, "In 2025, there were earnings pressures from one-time costs related to structural improvements, but we slightly raised dividends per share." He added, "In 2026, we will continue to pursue expanded shareholder returns from a mid- to long-term perspective based on profitability improvements. We will also actively execute share buybacks and cancellations as soon as reviews are completed in accordance with the shareholder return policy we have already announced."