Seoul: Listed firms in South Korea continued to retire their own stocks in the first quarter of the year on the back of the government-led corporate value-up scheme that launched in June last year, data showed Wednesday.
According to Yonhap News Agency, the bourse operator Korea Exchange (KRX) reported that treasury stock retirements reached a record 15.5 trillion won (US$11.44 billion) in the January-June period. This figure has already surpassed the 13.9 trillion won worth of treasury stock cancellations recorded for the entire year of 2024.
The data also revealed that these companies purchased 9.5 trillion won worth of their own stocks in the first quarter. As of the end of June, a total of 156 companies had made filings over their value-up schemes.
These companies represented a combined market value accounting for 43.9 percent of the total stock market capitalization. Their stock prices have increased by an average of 30.9 percent so far this year through June, slightly outperforming the benchmark stock index's 28 percent rise.
Additionally, the companies decided to distribute a combined total of 37.6 trillion won in cash dividends in the first quarter, marking a 10 percent increase from the previous year.