[Featured Stock] Celltrion Plummets Amid Temasek Block Deal Impact

Incheon Songdo Celltrion Plant 2 Overview. / Incheon - Photo by Kim Hyun-min kimhyun81@

[Asia Economy Reporter Hwang Junho] The stock price of Celltrion is plummeting following news that Temasek, Singapore's sovereign wealth fund, is selling its shares in the company.

According to the Korea Exchange on the 22nd, as of 10:28 a.m., the stock price recorded 170,000 KRW, down 6.08%. The decline is analyzed to be due to the news of Temasek's block deal (large-scale off-hours trading).

Temasek is the third-largest shareholder of both companies, holding 6.59% of Celltrion and 6.63% of Celltrion Healthcare. However, it was reported that Temasek decided on a block deal for 2.3 million shares of Celltrion and 2.6 million shares of Celltrion Healthcare the previous day, and demand forecasting targeting domestic and foreign institutional investors has begun. The estimated block deal size is about 390 billion KRW for Celltrion and 170 billion KRW for Celltrion Healthcare, totaling approximately 560 billion KRW.

Regarding this, Celltrion stated on its homepage that "it is judged as a portfolio adjustment," adding, "Although it may have a short-term impact on the stock price, some in the financial market have analyzed that this partially dilutes the risk of Temasek's share sale."

They continued, "Temasek, the Singapore sovereign wealth fund, has highly valued the growth potential of the Celltrion Group and has maintained long-term investment for 12 years since 2010," and added, "While it is regrettable as an investee company that a long-term friendly shareholder like Temasek is selling shares, Temasek still holds close to 5% of the shares, and we plan to actively seek opportunities to cooperate and create synergy with Temasek going forward."

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