KESPION Announces 2-for-1 Capital Reduction to Cover Deficits: Share Count Halved, Price Adjusted Upward

Free capital reduction ratio of 50%: 2 existing common shares consolidated into 1, reducing total shares from 19,177,757 to 9,588,878
Purpose is to improve financial structure by covering accumulated deficits; no cash payment to shareholders
Theoretical adjusted price on listing date: 2x pre-record date price (908 won → 1,816 won), no immediate dilution in market cap
Fractional shares arising from consolidation will be paid in cash based on the closing price on the first listing day; shareholder ownership percentages remain unchanged
Creditor protection procedures omitted per Commercial Act Article 439(2); proceeding via ordinary resolution at shareholders' meeting
[AI Comprehensive Analysis]Although the capital reduction aims to improve financial structure, it is a defensive measure to resolve accumulated losses, which may negatively impact investor sentiment. While there is no short-term dilution, risks of further decline exist if long-term growth drivers are absent