WEBTOON Entertainment Inc. has filed a Form 8-K updating the terms of employment for its Chief Executive Officer and Chairman, Junkoo Kim. The filing details a series of changes approved by the Board of Directors on September 30, 2026, primarily in response to Mr. Kim’s relocation of his primary residence from Korea to the United States.
Under the approved arrangements, Mr. Kim’s employment with the company’s wholly-owned subsidiary, NAVER WEBTOON Ltd., will be terminated. In connection with this termination, Mr. Kim is entitled to a cash payment of 249,648,080 South Korean Won (approximately $184,175), less applicable withholdings, to be paid in October 2026. Additionally, he will receive a one-time relocation cash benefit of $567,009, less applicable withholdings, scheduled for January 2027, contingent upon his continued employment through the payment date.
The company will also reimburse Mr. Kim for any excess income or tax liability incurred due to the relocation cash benefit compared to a scenario where he was not a tax resident in both the U.S. and Korea. This Tax Equalization Payment amount is not yet determinable and will be calculated according to standard payroll practices.
On October 1, 2026, the Company and Mr. Kim entered into an Amended and Restated Employment Agreement, which supersedes the previous agreement dated November 5, 2024. The new agreement modifies severance benefits in several ways. Upon termination without Cause or resignation with Good Reason, the cash severance increases from six months to a lump sum equal to twelve months of base salary, and a lump sum equal to the target incentive opportunity is added. COBRA premium reimbursements were also extended from six months to twelve months.
The agreement further adjusts severance terms following a Change in Control within 12 months, increasing cash severance to twenty-four months of base salary and replacing pro-rated incentive payments with a lump sum equal to two times the target incentive opportunity. The agreement also adds full equity vesting acceleration for performance stock units and includes provisions for director and officer liability insurance and indemnification, as well as a mutual non-disparagement clause.
