GAON CABLE Announces 80% Free Stock Issuance, Massive Share Increase to Adjust Share Price Downward


  • GAON CABLE decided on June 16, 2026 through its board of directors to conduct a free stock issuance of 0.8 new common shares per existing share. The record date is July 1, 2026 and the listing date is expected on July 23, 2026.
  • A total of 13,234,492 new shares will be issued, funded from capital surplus of 66,172,460,000 won. Total outstanding shares will increase by 80% from 16,543,115 to 29,777,607 shares.
  • This free issuance does not change ownership percentages but will dilute earnings per share proportionally. The stock price is theoretically expected to adjust downward in line with the issuance ratio.
  • As no new capital is raised, the purpose is not capital procurement but improvement of financial structure and liquidity. It can be seen as part of shareholder return policy.
  • [AI Summary]GAON CABLE's 80% free stock issuance significantly increases share count, leading to dilution of per-share value and potential short-term price pressure. However, existing shareholders maintain their ownership percentage, making the impact neutral overall; the use of capital surplus supports financial soundness.

KOSPI Filing Information


  • Report on Major Issues (Decision on Free Allocation)
  • Company: GAON CABLE (000500)
  • Submission: GAON CABLE CO.,LTD

  • Shares: 16,543,115
  • Price: 252,000 KRW
  • Market Cap: 4,168.9 B KRW