Korea Stock Market Insights

Tag: Delisting Review

  • Winia Aid: Escaped Delisting, But Faces Delisting Review

    1. What Happened?

    On August 14, 2025, Winia Aid announced through a revised audit report that the re-audit opinion for the 2024 fiscal year had changed to ‘qualified.’ This resolved the formal reason for delisting, but simultaneously placed the company under a delisting review.

    2. Why Does It Matter?

    The ‘qualified’ audit opinion is a positive sign, increasing the likelihood of Winia Aid’s survival. The conclusion of the rehabilitation proceedings and the M&A also raise expectations for normalization of management. However, investors need to pay attention to the review results, as they will determine whether trading will resume.

    3. What’s Next?

    • Positive Scenario: If the review is passed, trading may resume and the stock price could rise.
    • Negative Scenario: If the review is failed, delisting is possible.

    The review will comprehensively assess Winia Aid’s business sustainability, financial soundness, etc. Recent financial improvement trends and the ability to generate operating cash flow will be key evaluation factors.

    4. What Should Investors Do?

    Investors should approach with caution until the results of the delisting review are announced. Careful monitoring of the resumption of trading, financial performance improvement trends, and future operating cash flow generation capabilities is crucial.

    When will the results of the Winia Aid delisting review be released?

    The review period varies depending on the company’s situation, but generally, it can take several months. We need to wait for an official announcement from the Korea Exchange.

    What factors are evaluated in the delisting review?

    The review comprehensively assesses the company’s sustainability as a going concern, financial soundness, and management transparency.

    Should I invest in Winia Aid stock now?

    Caution is advised until the delisting review results are released. Only investors who can tolerate high risk should consider investing.

  • Seohee Construction Faces Delisting Threat: Key Dates and Investor Actions

    What’s Happening? Seohee Construction Faces Delisting Review

    The Korea Exchange announced on August 11, 2025, that Seohee Construction is facing a potential delisting review. The decision will be made by September 2nd. If placed under review, the company faces a serious threat of delisting.

    Why is this happening? Reasons for the Delisting Review

    Unfortunately, the report doesn’t specify the exact reasons for the review. However, the Korea Exchange’s listing regulations stipulate various reasons, including lack of management transparency and financial instability.

    What are the implications? Market and Company Impacts

    • Stock Price Plunge: A delisting review can severely impact the stock price.
    • Trading Suspension: Trading of the stock is likely to be suspended during the review period.
    • Credit Downgrade: The company may face difficulties in raising capital and maintaining relationships with partners.

    What should investors do? Action Plan

    • Gather Information: Stay updated on announcements from the Korea Exchange and news reports.
    • Conservative Approach: A cautious approach is recommended until the uncertainty is resolved.
    • Consult Experts: Consider consulting with investment professionals to reassess your investment strategy.

    Frequently Asked Questions

    Q: Should I sell my Seohee Construction stock now?

    A: High volatility is expected until the review results are announced. A cautious approach is recommended rather than making hasty decisions.

    Q: What is the likelihood of Seohee Construction being delisted?

    A: Delisting is a real possibility if the company is placed under review. However, the final outcome depends on the review results and the company’s ability to implement improvement plans.

    Q: When will the delisting review results be announced?

    A: The Korea Exchange is expected to announce its decision by September 2nd. Further review processes will follow before a final delisting decision is made.

  • Iljin Power: Delisting Crisis Averted? Investment Strategies After Avoiding Delisting Review

    1. What Happened? Delisting Review Exemption

    On July 22, 2025, Iljin Power announced the positive news of its exemption from the delisting review. This means the worst-case scenario of delisting has been avoided, and trading is expected to resume on July 23rd.

    2. Why Does It Matter? Reduced Uncertainty, Improved Investor Sentiment

    This decision removes the uncertainty surrounding Iljin Power’s listing status, which has been weighing down the stock price. It’s expected to improve investor sentiment and potentially create upward momentum for the stock.

    3. What’s the Company’s Situation? Q1 Earnings Slump and New Business Ventures

    Despite the positive news, the Q1 earnings were disappointing. The decline in sales and profitability raises concerns for investors. However, the active investment in renewable energy could offer long-term growth potential.

    • Strengths: Diversification into renewable energy, healthy short-term liquidity
    • Weaknesses: Weak Q1 earnings, pending lawsuits
    • Opportunities: Government support for renewable energy policies
    • Threats: Volatility of raw material prices, increased competition

    4. What’s the Outlook? Short-Term Gains, Long-Term Uncertainty

    In the short term, the stock price is expected to rise following the delisting exemption. However, the long-term trend will depend heavily on the success of the renewable energy business and macroeconomic conditions.

    5. What Should Investors Do? Proceed with Caution

    Investors should not be swayed by short-term price fluctuations and should carefully analyze the progress of the renewable energy business and future earnings prospects. It’s also crucial to monitor the outcome of the pending lawsuits and macroeconomic variables.

    Frequently Asked Questions

    Is Iljin Power completely safe from delisting?

    Yes, with the exemption from the delisting review, the possibility of delisting is currently very low. However, future management issues or legal problems could trigger another review, so ongoing monitoring is necessary.

    What is the outlook for the renewable energy business?

    While there is long-term growth potential, the business has yet to achieve profitability. Success will depend on various factors such as government policies, technological advancements, and market competition.

    What should investors be cautious about?

    Be mindful of short-term price volatility and carefully analyze the reasons for the weak Q1 earnings and the potential for improvement. It’s important to monitor the progress of the renewable energy business and the outcome of pending lawsuits.