SEOUL, March 8 (UPI) -- South Korea's KT&G Corp., a big tobacco company, says it is willing to give corporate raider Carl Icahn one, and only one, seat on its board.
Icahn and a partner are in a proxy battle against KT&G and have sought three board seats, Joonang Ilbo reported Wednesday.
"We estimate that our management has support from investors who collectively own a 40-percent stake, and Mr. Icahn is backed by investors with a 35-percent stake," said Kwak Young-kyoon, KT&G's chief executive.
His estimate assumes that Franklin Mutual Advisers LLC, the biggest shareholder of KT&G with 8.1 percent of KT&G, will support Icahn.
Icahn wants KT&G to spin off and list its ginseng unit, and sell non-core businesses and idle real estate. Management said no, which prompted Icahn to seek three board seats.
The protagonists are set to clash at KT&G's March 17 annual shareholder meeting.
