The second-largest shareholder of UNGEL, The One MTS, noted that it has secured more equity than the current management, classified as the largest shareholder and related parties. The One MTS also mentioned having plans for additional purchases and stated that there were offers from some investors to participate in management.
According to the financial investment industry on the 30th, The One MTS revealed that as of the 26th of this month, it has secured 1,287,819 shares, including related party equity. This amounts to 9.76% of UNGEL's equity, comprising 959,440 shares from The One MTS, 198,147 shares from its affiliate Wiz & Company, and 130,232 shares held by representative Kim.
Currently, the disclosed information indicates that UNGEL's largest shareholders are Chairman Park Ji-hyang and representative Yu Ji-won, among related parties (totaling 16.89%). Excluding UNGEL's employee welfare fund equity (7.50%), this level drops to 9.39%. This implies that The One MTS has acquired 48,585 more shares than the current management. As UNGEL is a settlement of account corporation with a fiscal year ending in December, The One MTS is interpreted to have aggressively purchased equity up to the last day to secure its rights.
The One MTS announced that it has plans for further equity acquisition in the future. A representative from The One MTS stated, "The equity acquisition to date has been because UNGEL's stock price is significantly low compared to the company's value, and in order to generate revenue from potential stock price increases in the future," while also adding, "Having secured more equity than the current management indicates that there is a possibility of exercising voting rights or participating in management at next year's regular shareholders' meeting." The One MTS still retains its equity solely for investment purposes.
The company also revealed that it has received offers from financial investors, who have recently held more than 5% of UNGEL's shares, to participate in management rights.
UNGEL, the number one player in the smart learning market for infants, has recorded an operating loss of 370 million won up until the third quarter after transitioning to an operating deficit last year. Faced with sluggish performance and with the largest shareholder's equity remaining in the 10% range, it appears that The One MTS has initiated equity purchases to secure control.
Meanwhile, UNGEL has reported that it has secured sufficient voting rights and equity, including friendly shares. On the 18th of this month, UNGEL exchanged 237,769 of its own shares (1.80%) worth 1.2 billion won for 839,942 shares of Iroun, a mobile communication solution provider, for a strategic alliance to collaborate on new business. On the 20th, UNGEL transferred 170,000 treasury shares (1.29%) to the UNGEL employee welfare fund (equity ratio 6.21% to 7.50%). Through this large-scale transfer of treasury shares, UNGEL has secured an additional 3.09% of voting rights compared to before the transfer decision.