The 'super ant' from Dongnae District in Busan, which attracted attention for holding a large amount of shares in SHINJIN SM and Yangjisa, has become the second largest shareholder by purchasing a large amount of shares in Jaeyoung Solutec. This is considered unusual because it has selected stocks with a large number of circulating shares, rather than investing in so-called 'sold-out stocks,' which was its main investment strategy.
According to the financial investment industry on the 26th, individual investor Mr. Kim Dae-yong (42) announced that he recently secured 6.41% of Jaeyoung Solutec's equity for about 5.4 billion won. Since purchasing shares in Jaeyoung Solutec from April of this year, Mr. Kim focused on buying 3.1 billion won worth (3.70%) over three days starting on the 12th, making him the second largest shareholder.
Mr. Kim attracted attention in the market last July by massively acquiring so-called sold-out stocks with low circulating shares, such as Yangjisa and SHINJIN SM. Notably, when he purchased shares in SHINJIN SM, he demanded a stock split from the company, which boosted the stock price, and then sold the shares he held, realizing a profit of about 1.1 billion won, which caused controversy. He was also arrested in November of the same year on charges of stock manipulation.
Until last year, Mr. Kim did not show distinct investment moves, but he resurfaced in the market this year. He disposed of his shares in Yangjisa, which he held until March, incurring a loss of about 7.16 billion won as per disclosures. After that, he resumed his sold-out stock strategy by purchasing 9.97% and 11.71% respectively in Silla Textile and Codes Combine. Both companies have large shareholders and related persons with 61.78% and 60.35% stakes, making them stocks with low circulating shares.
Last month, Mr. Kim increased his stake in Codes Combine to 7.18%, but in August, he made a significant change to his investment strategy. Following remarks by the Lee Jae-myung government suggesting a thaw in relations with North Korea, the stock price of Codes Combine, classified as a North-South cooperative theme stock, surged over 50% from around 1,700 won at the end of July to the 2,600 won range, prompting him to sell all his shares for a profit exceeding 2.4 billion won.
Subsequently, he purchased a large number of shares in Jaeyoung Solutec, a manufacturer of molds and optical lenses. Jaeyoung Solutec is far from the sold-out stocks Mr. Kim previously favored. As of the end of June, the stake of the largest shareholder in Jaeyoung Solutec is only 17.99%, with minority shareholders accounting for 80%, indicating that it has many circulating shares.
The market interprets that Mr. Kim changed his investment focus from Codes Combine, where he made substantial revenue in a short period, to Jaeyoung Solutec, which is also classified as a North-South cooperative theme stock. Recently, with the government's push for a North Korea engagement policy, the possibility of reopening the Kaesong Industrial Complex has been raised, suggesting that Mr. Kim bet on the rise of Jaeyoung Solutec's stock price.
Jaeyoung Solutec, the first corporation to settle in the Kaesong Industrial Complex, is uniquely equipped with a semiconductor clean room within the complex. At that time, the company supplied all the parts produced to Samsung Electronics for the Galaxy series.
In fact, the trading news of such a super ant often leads to follow-up buying by other individual investors, which necessitates caution. When the investment decision of such a 'big hand' causes stock prices to soar and then plummet in a short span, investors who followed suit often face losses.
It is estimated that Mr. Kim has entered a loss phase since acquiring the shares of Jaeyoung Solutec. According to disclosures, Mr. Kim's average purchase price is 908 won, while the stock price of Jaeyoung Solutec is around 810 won. Based on the current situation, Mr. Kim is facing a loss of about 700 million won.