Paru Calls Extraordinary General Meeting to Approve 2:1 Reverse Stock Split and Amend Articles for Price Stabilization
Paru announced a call for the 32nd Extraordinary General Meeting to be held on July 16, 2026 at 9 AM at its headquarters in Suncheon, South Jeolla Province. Main agenda items include partial amendment of the articles of incorporation and approval of a stock split.
The stock split is a 2:1 reverse split consolidating two common shares with par value of 500 won into one share with par value of 1,000 won. After the split, total outstanding shares will decrease from 41,804,315 to 20,902,157, while capital will decrease by only 500 won due to fractional share treatment, resulting in virtually no capital change. The company states the purpose is to stabilize the stock price and enhance corporate value by maintaining an appropriate number of outstanding shares.
The company operates in solar energy structures and tracking systems as well as sanitary and environmental businesses. In solar, it is expanding overseas markets including the US, Japan, and Europe, while in sanitary, it addresses agricultural mechanization and disinfection equipment demand.
The meeting includes amendment of articles for the stock split. The record date for the split is August 5, 2026, effective August 6, and the new shares are expected to be listed on August 27. Trading suspension is scheduled from August 4 to August 25.
[AI Summary]Paru's EGM call is a price stabilization measure via a reverse stock split with no capital raise or dilution, making it neutral for shareholder value. The company's solar overseas expansion and stable sanitary business demand support fundamentals, but short-term catalysts are limited.