NAVER shares are surging on the morning of the 25th. Buying appears to be pouring in after a report that NAVER will bring Dunamu into the NAVER group as an affiliate.

Naver's headquarters in Bundang-gu, Seongnam, Gyeonggi Province. /Courtesy of News1, reporter Kim Do-woo

As of 11:25 a.m. on the 25th, NAVER was trading at 246,000 won on the main board, up 17,000 won (7.46%) from the previous session. It rose more than 10% intraday and even topped the 250,000-won level.

Shares are soaring on a report that NAVER Financial (NAVER Pay), in which NAVER is the largest shareholder, and Dunamu, the operator of the virtual asset transaction exchange Upbit, are pushing a comprehensive stock swap.

A comprehensive stock swap is a method in which two corporations exchange shares in each other to unify their governance structure; if the exchange goes through, Dunamu will become a 100% subsidiary of NAVER Financial and is expected to be incorporated into the NAVER group.

Earlier, NAVER Financial brought in as an affiliate Securities Plus Unlisted by acquiring 70% equity that Dunamu had owned. Dunamu's equity stake is 30%.

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