The stock price, which has been embroiled in a management dispute, is skyrocketing.
As of 9:19 am on the 20th, Hwacheon Machinery is trading at 5,250 won, a 1210 won (29.95%) increase from the previous trading day. After closing the trade at the upper limit of the previous day, it continued to rise sharply.
The rise of disputes over management rights between the owner family and super ants seems to be fueling the stock price.
Earlier, on the 11th of last month, Boas Asset CEO Kim Seong-jin filed a lawsuit to allow an extraordinary general meeting of shareholders on the 11th of last month to distribute 69.3 billion won (3,500 won per share) out of 103.4 billion won in retained earnings owned by Hwacheon Machinery.
Boas’ stake in Hwacheon Machinery, including CEO Kim Seong-jin, is 10.43%, making it the second largest shareholder following the largest shareholder with a 34.54% stake.
After purchasing a 10% stake in Hwacheon Machinery in April, CEO Kim filed a management right dispute with the Seoul Central District Court in July asking for permission to hold an extraordinary general meeting to appoint him and six executives of Boas Asset. .
Meanwhile, Hwacheon Machinery is a specialized machine tool company that produces and sells general-purpose machine tools and domestically sells CNC machine tools supplied by Hwacheon Machine Tools. It is processing and supplying cylinder blocks to Hyundai and Kia.
Reporter Eunji Cha, Hankyung.com chachacha@hankyung.com