Samyoung ENC Reviews Differential Dividends to Enhance Shareholder Value

[Asia Economy Reporter Hyungsoo Park] Samyoung ENC, a developer of ship electronic equipment, is implementing differential dividends by withholding management dividends to enhance shareholder value.

Samyoung ENC announced on the 28th through a disclosure that it will pay a minimum dividend of 70 won per share. After consultations with the major shareholders and related parties, it is also considering differential dividends that could increase the dividend amount for other shareholders.

A Samyoung ENC official stated, "This year, we issued convertible bonds and disposed of treasury shares to raise funds for facilities and operations," adding, "Considering the improved financial condition, we are reviewing dividends for the first time in two years as part of our shareholder return policy."

Samyoung ENC expects improved performance starting next year by establishing the world's first long-distance maritime digital communication network. Recently, it succeeded in commercializing the e-Navigation ship terminal, which is being mandatorily introduced domestically, and the MF/HF digital transceiver capable of digital communication at sea up to 100 km away from land.

Through differential dividends, the company plans to communicate that core areas for corporate value growth such as research and development and sales are progressing smoothly and that it continues to consider enhancing shareholder value.

Hwang Hyekyung and Lee Seonki, co-CEOs of Samyoung ENC, said, "The current CEO, who is a related party of the major shareholder, will forgo dividends," adding, "If the legal guardian of Chairman Hwang Won, the major shareholder, is appointed by the end of February next year, we will strive to implement differential dividends for the major shareholder and other related parties."

They continued, "If smooth consultations are not possible, at least the current CEOs plan to implement differential dividends with no dividends," emphasizing, "This reflects the current CEO's commitment to enhancing shareholder value, which was neglected due to conflicts with previous management."

Samyoung ENC plans to strengthen investor relations (IR) activities going forward to facilitate smooth communication with shareholders.

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