SEWHA P&C to Reduce Outstanding Shares by 80% via Reverse Stock Split to Stabilize Share Price and Enhance Corporate Value
SEWHA P&C will convene an extraordinary general meeting on July 10, 2026 to approve a reverse stock split merging 5 shares of 100 KRW par value into 1 share of 500 KRW par value.
The stock split will reduce outstanding shares from 41,486,390 to 8,297,278, an 80% reduction, while total capital remains unchanged at 4,148,639,000 KRW.
The purpose is to stabilize the share price and enhance corporate value by maintaining an appropriate number of outstanding shares. New shares are expected to be listed on September 1, 2026.
Fractional shares will be compensated in cash based on the closing price on the listing date. The split does not alter capital or cause dilution for existing shareholders.
[AI Summary]SEWHA P&C's reverse stock split is a financial strategy aimed at price stabilization through share consolidation. While the number of shares decreases, total equity and shareholder ownership percentages remain unchanged, resulting in no direct value change. Short-term price appreciation may occur, but investors should focus on the company's business competitiveness and profitability for fundamental valuation.