The stock price of SHINSUNG TONGSANG, which operates the domestic clothing brand "Topten," is hitting the upper limit in early trading on the 9th. This comes after news that the corporation plans to initiate a tender offer for voluntary delisting.
As of 10 a.m. on the 9th, SHINSUNG TONGSANG shares are trading at 3,925 won, up 905 won (29.97%) from the previous trading day, hitting the upper limit.
On that morning, SHINSUNG TONGSANG announced that its largest shareholder, Canaan, along with AP Fashion, would publicly purchase 23,178,102 shares (16.13% stake) of SHINSUNG TONGSANG. The period for this tender offer is from that day until July 9. The public purchase price is set at 4,100 won per share, which is 35.8% higher than the previous closing price of 3,020 won.
Earlier, SHINSUNG TONGSANG attempted a tender offer for voluntary delisting last June but failed to secure its target equity as investors formed a consensus that the tender offer price of 2,300 won was excessively low.
Currently, Canaan, Asia Fashion, and the owner family hold an 83.87% stake in SHINSUNG TONGSANG. About 11% of the equity remains to meet the delisting requirement of a 95% stake.