Cody Confirms Resumption of Stock Trading... "Improving Business Structure Through ODM"

[Asia Economy Reporter Jang Hyowon] Cody, a company specializing in the manufacture of color cosmetics (CEO Kim Jongwon), announced that the suspension of its stock trading will be lifted as of May 22, and stock trading will resume from the 25th.

Cody was designated as a management item due to a disclaimer of opinion on its 2017 semi-annual audit report, and continued to experience poor performance with ongoing operating losses. However, after recently submitting a business improvement plan implementation report, the Korea Exchange lifted the suspension of its stock trading.

The resumption of Cody's stock trading is evaluated to have been significantly influenced by the investment and management improvement efforts of Synergy Partners. The timing of Synergy Partners’ emergence as a savior for Cody coincided with the period when Cody was facing difficulties. Since participating in Cody’s management through Cosmetic Platform in February 2018, Synergy Partners has steadily supported funding through a rights offering, laying the foundation for structural improvement. In particular, by applying the know-how gained from normalizing the management of bio-affiliated companies such as Synergy Innovation and DSK, they rapidly improved the management environment at Cody.

A new auditor was appointed to secure audit independence, and activities to enhance financial stability continued, including the sale of the Yongin headquarters and early conversion of convertible bonds (CB) into stocks.

As a result of these efforts, the operating losses that had continued for four consecutive years turned into profits in 2019, and in the first quarter of this year, the company rebounded as a firm with an operating profit, a current ratio of 401%, and a debt ratio of 134%.

A company official stated, “We are pleased to share the news of the resumption of stock trading with the many shareholders who have stood by us during difficult times,” and added, “Going forward, we will actively secure excellent talent for Cody’s sustainable growth, continuously discover profitability and future growth engines, enhance corporate value, and ultimately do our best to increase shareholder value.”

This content was produced with the assistance of AI translation services.