Ostem Implant and Sillajen at Risk of Delisting... Resumption of Trading Seems Difficult

[Asia Economy Reporter Lee Seon-ae] The fate of Osstem Implant and Sillajen, both facing delisting due to embezzlement and breach of trust, will soon be decided. In fact, neither company is likely to resume trading anytime soon, which is expected to cause significant losses to nearly 200,000 small shareholders.

The Korea Exchange will decide on the eligibility for a substantive review of Osstem Implant's listing status on the 17th. The exchange is expected to conclude that Osstem Implant will undergo a substantive delisting review. The fate of Sillajen, which was decided for delisting by the Corporate Delisting Committee on the 18th of last month, will be determined on the 18th at the KOSDAQ Market Committee, which serves as the second-instance substantive review for listing eligibility. It is also expected to result in delisting.

Accordingly, the investment funds (approximately 2 trillion won) of hundreds of thousands of small shareholders will effectively be frozen for at least six months to a maximum of one year. Osstem Implant's small shareholders are demanding the resumption of trading, considering the company's fundamentals, growth potential, and market impact. The opposition from Sillajen's small shareholders is even stronger. The shareholder coalition recently filed a complaint against Sohn Byung-doo, chairman of the Korea Exchange, and its executives for violating the Capital Markets and Financial Investment Business Act. The coalition stated, "Deciding delisting for reasons not stipulated in the regulations is illegal," and demanded, "The Market Committee should decide to resume trading."

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