Cherry Buro is experiencing an 8% increase on the first day of trading following a stock consolidation that led to a trading halt.
As of 9:33 a.m. on the 28th, Cherry Buro shares were trading at 1,460 won, up 120 won (8.96%) from the previous trading day, according to the Korea Exchange.
The company had suspended trading from August 6 to 27 for the stock consolidation process, which resumed today.
On May 21, Cherry Buro's board of directors decided to increase the par value per share from 500 won to 1,000 won. As a result, the total number of issued shares was reduced from 47,952,015 to 23,976,007.
Stock consolidation involves merging multiple shares into a smaller number of shares, which does not affect the company's capital or overall value.
Cherry Buro stated that the purpose of the consolidation is to maintain an appropriate number of circulating shares to stabilize the stock price and enhance corporate value.
The effective date of the stock consolidation was August 8, and the listing of the newly consolidated shares occurred on that day. The company plans to compensate for any fractional shares resulting from the consolidation based on the closing price on the first day of the new shares' listing.
The company emphasized, "This is a stock consolidation that maintains corporate value and does not constitute a capital reduction."
* This article has been translated by AI.
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