This article was displayed on the ChosunBiz MoneyMove (MM) site at 8:21 a.m. on Jul. 1, 2026.
Duksan Navcours, which had worked hard to clear the hurdle for a dual listing by even securing approval from the parent company's shareholders, has seen its listing process stall. The Korea Exchange (KRX) has been unable to conclude the preliminary listing review for Duksan Navcours as the government, including financial authorities, has repeatedly delayed releasing its dual-listing guidelines.
According to the investment banking industry on the 1st, Duksan Navcours' bid to list on the KOSDAQ market has failed to clear the Korea Exchange (KRX)'s preliminary listing review. The company applied for a preliminary listing review in November last year with a goal of a technology special listing for companies without realized profits, but as of the day, it has remained at "application received" for eight months. In days, it has been 233.
Duksan Navcours, founded in 2012, is an aerospace corporations specializing in navigation solutions that determine position and set routes. As a core aerospace company of Duksan Group, it has built anti-jamming technology that allows operation while withstanding navigation signal interference (jamming), earning an "A" (excellent) and A rating in the technology evaluation.
However, moves to regulate dual listings have led to delays in the review. The government set a stance of, in principle, banning dual listings of parent and subsidiary companies. The parent company of Duksan Navcours is Duksan Hi Metal, which is listed on the KOSDAQ market, and as of the end of last year, Duksan Hi Metal held 61.1% (9,650,837 shares) equity in Duksan Navcours.
Behind the government's push to ban dual listings is concern that listing a subsidiary of a listed company harms the rights and interests of existing ordinary shareholders, such as a decline in the parent company's corporate value. In particular, President Lee Jae-myung directly said, "Dual listings should not be allowed," leading some large corporate groups to drop plans to list subsidiaries.
Even so, expectations for Duksan Navcours' listing grew. That is because the parent company, Duksan Hi Metal, held an extraordinary shareholders meeting and secured consent from ordinary shareholders regarding Duksan Navcours' listing. Shareholders representing 78% of total equity attended, and 92% of those present agreed to Duksan Navcours' listing.
Duksan Navcours also became the first case to obtain consent from the parent company's ordinary shareholders after the government announced the, in principle, ban on dual listings. Duksan Hi Metal secured shareholder approval by noting that Duksan Navcours is not a spin-off entity of a business division and by additionally presenting a plan to pay 150,000 shares of Duksan Navcours as an in-kind dividends after listing.
However, as the government has repeatedly delayed releasing dual-listing guidelines that include exception criteria, the review has been adrift. Initially, the Financial Services Commission and others set a policy to release the dual-listing guidelines in early last month, but they failed to do so. It is understood that more than a month later, they still have not set a release date.
Although the Financial Services Commission and other authorities gathered opinions from experts and industry figures, larger-than-expected differences over the scope of exceptions have played a role. If exceptions such as allowing listings when parent company shareholder consent is secured are recognized, the policy of an "in principle ban on dual listings" itself could be undermined.
DTS, a subsidiary of DASAN Networks, which is listed on the KOSDAQ market, is also stuck at the Korea Exchange (KRX)'s preliminary listing review threshold. Following the Duksan Navcours case, DTS likewise held an extraordinary shareholders meeting of the parent company to secure the consent of ordinary shareholders, but it has become unclear whether consent from ordinary shareholders will be a key condition for listing.
A source in the investment banking (IB) industry said, "There had been expectations that corporations that made efforts to protect shareholders would be allowed to list, but with the guideline release delayed, it has become difficult to respond at all," adding, "Considering procedures such as revising Korea Exchange (KRX) rules, the review could be prolonged further."