The number of listed corporations that released plans to enhance corporate value (value-up program) in March rose sharply. Analysts said related filings surged after authorities released a policy to give tax benefits to high-dividend corporations.
Korea Exchange (KRX) said on Apr. 7 in its "monthly corporate value enhancement status" that 409 disclosures of corporate value enhancement plans were submitted in March. Of these, 405 were by high-dividend corporations. The exchange said, "Spurred by the tax benefit policy, many listed corporations participated in disclosures of corporate value enhancement plans."
So far, a total of 587 corporations have released corporate value enhancement plans. By market, 305 are KOSPI-listed corporations and 282 are KOSDAQ-listed corporations. The share of disclosing corporations in total market capitalization was 79.2% for KOSPI and 22% for KOSDAQ.
In March, 28 corporations also took part in periodic disclosures. Kumho Petrochemical and S-Oil were among the filers. The exchange said the expansion of high-dividend corporation disclosures is also leading to participation in periodic disclosures.
The value-up index closed at 2,248.59 points (P), down 20.72% from the previous month. However, it rose 126.6% compared with Sep. 2024, the index's launch date.
The net worth aggregates of the 13 value-up ETFs also fell slightly. As of the end of March, the net worth aggregates of value-up ETFs stood at 2.6 trillion won, down 3.7% from the same period a year earlier (2.7 trillion won).
Shareholder returns are on an expansionary trend. Share buybacks amounted to 20.1 trillion won, up 6.9% from the previous year (18.8 trillion won), and cancellations came to 21.4 trillion won, up 53.9% from the previous year (13.9 trillion won). Cash dividends were 50.9 trillion won, up 11% from the previous year (45.8 trillion won).