In early trading on the 20th, SeAH Holdings is surging 10%. Investor sentiment appears boosted by news that the company will conduct a $30 billion won open market tender offer for treasury shares.
As of 9:43 a.m. on the day, SeAH Holdings is trading on the main board at 154,700 won, up 14,200 won (10.11%) from the previous session.
Earlier, SeAH Holdings said the previous day it would acquire treasury shares by launching an open tender offer worth 30 billion won (187,000 common shares). The tender runs from the 20th of this month to the 8th of next month. Upon completion, SeAH Holdings will hold up to 223,151 shares (5.26%).
SeAH Holdings plans to retire all treasury shares acquired. SeAH Holdings announced a value-up plan in Nov. 2024 and disclosed that it would retire 50 billion won worth of treasury shares over three years.
The tender price is 160,000 won per share, a 10.9% premium to the previous day's closing price (0 won). The market therefore views the share price as rising by the amount of the premium.