This article was published on the ChosunBiz MoneyMove (MM) site at 5:26 p.m. on Sept. 23, 2025.
The attempt by TMC, a cable manufacturing specialist, to list on the KOSPI is taking longer. The Korea Exchange is facing deep deliberation as the controversy over shareholder value dilution—arising because the parent company, KPF, is listed on the KOSDAQ—coincides with the new administration's emphasis on regulating dual listings.
Industry sources said on the 26th that the Korea Exchange's main board has postponed the TMC listing committee meeting to mid-next month. The Korea Exchange had planned to hold the listing committee last week on the 15th to make a final determination on listing eligibility, but chose to extend the review once.
The review period for TMC, which filed for preliminary listing review in July, will now extend to more than three months. The listing committee is the final gate in the preliminary listing review that decides approval, reexamination, or disapproval of companies seeking listing. If approved, the company can immediately begin the public offering process.
Analysis suggests that the dual listing controversy, which has emerged as a hidden obstacle in the initial public offering (IPO) market, is leading to delays in the Korea Exchange's reviews. In addition to President Lee Jae-myung's longstanding critical view of dual listings, the ruling party has even proposed a "split listing" ban law, intensifying the issue.
Concerns have been consistently raised that a separate listing of TMC could dilute the corporate value of the parent company's shareholders. KPF, a KOSDAQ-listed company, is the parent company holding 68.37% of TMC's equity, and more than 40% of KPF's consolidated sales come from TMC.
The Korea Exchange is conducting the preliminary listing review of TMC with core criteria that include whether the parent company's shareholders' interests are harmed, independence of business and management, and investor protection measures. However, it is reported that no conclusion has been reached because current law only places some restrictions on listings of subsidiaries created by physical division.
TMC is continuing its listing efforts. It is arguing that it has secured operational independence because its sales amount to less than half of KPF's consolidated sales, while KPF has held shareholder meetings and repeatedly proposed return measures such as in-kind dividends of TMC shares to appease shareholder opposition.
Meanwhile, market attention on whether TMC's review will be approved is also a burden for the Korea Exchange. Since no company has obtained review approval after the new administration took office amid the dual listing controversy, TMC's result could become a de facto milestone that gauges the Korea Exchange's principles.
As a ban on dual listings becomes a reality, uncertainty about the guidelines has grown among companies preparing to list. Earlier, SK enmove withdrew its listing, and LSE, which attempted to list around the same time as TMC, also pulled its listing after failing to overcome the dual listing controversy.
A securities industry official said, "The Korea Exchange has held multiple meetings with securities firms' IPO practitioners regarding dual listings but has been unable to set a direction," adding, "Because the Financial Services Commission and the Financial Supervisory Service are tied up in discussions about organizational restructuring, the Korea Exchange cannot make any decision."