Tighter delisting rules put $5.9 bil. of retail money at risk
More than 3 million retail investors hold penny stocks and low-market-cap shares that could be at risk of delisting as Korea tightens listing requirements, data showed Sunday. Their holdings were valued at nearly 8 trillion won ($5.9 billion). A total of 238 companies on the benchmark KOSPI and secondary Kosdaq either traded below 1,000 won a share or failed to meet minimum market capitalization…
A new set of stricter delisting rules in Korea may put $5.9 billion of retail investments at risk, according to data released by a Democratic Party lawmaker. Approximately 3 million retail investors own shares in penny stocks and low-market-cap companies that could be delisted under the new regulations. These holdings are valued at nearly 8 trillion won.
The Korea Exchange identified 238 companies on the KOSPI and secondary Kosdaq exchanges that either traded below 1,000 won per share or failed to meet minimum market capitalization requirements. Of these, 61 were listed on the KOSPI and 177 on the Kosdaq, with nearly three times as many affected companies on the Kosdaq. The 3,126,710 retail shareholders of these companies have a combined stake valued at 7.85 trillion won, based on the latest annual reports.
The data may contain some duplicates, as an individual investor can hold shares across multiple companies.
Written by urgent.news from The Korea Times's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
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- Tighter delisting rules put $5.9 bil. of retail money at risk koreatimes.co.kr
