LS Securities Finalized Settlement of 9.8 Billion KRW in Lawsuit Related to Chinese CERCG ABCP Default, Impacting 1.12% of Equity
This decision is a court recommendation to settle the lawsuit filed by BNK Investment Securities regarding the default on Chinese CERCG-linked ABCP, requiring LS Securities to jointly pay approximately 9.8 billion KRW with Hanwha Investment Securities.
The payment amount represents 1.12% of consolidated equity of 878.7 billion KRW as of end-2025, and the company plans to finalize the case after making the payment according to legal procedures.
The lawsuit led to a settlement recommendation after a Supreme Court ruling, and LS Securities, as one of the defendants, will bear a portion according to the agreed allocation.
[AI Summary]This decision concludes the legal risk from the past ABCP default, incurring a one-time cost of about 9.8 billion KRW or 1.12% of equity. While it reduces short-term profit, it resolves financial uncertainty going forward.
KOSDAQ Filing Information
Judgment Or Decision On Lawsuit, Etc. (Voluntary Disclosure: Claim Below Specified Amount)