[Special Stock] "Yeongpung Precision Ends Flat Despite Open Tender Offer Against Choi Family"

The stock price of Young Poong Precision closed steady despite the declaration of a counter tender offer by the Choi family, including Choi Yoon-beom, chairman of Korea Zinc.

On the 2nd, Young Poong Precision's stock price closed at 25,450 won, up 0.59% from the previous day's closing price. The price showed signs of a sharp rise early in the session following the Choi family's counter tender offer announcement but then adjusted downward. It remains well below the 30,000 won tender offer price proposed by the Choi side.

This is interpreted as a limitation that investors cannot sell all their shares at the counter tender offer price of 30,000 won. The Choi family stated they would purchase up to 25% of the issued shares (3,837,500 shares). This is only 57.6% of the volume MBK Partners agreed to buy at 25,000 won.

In the market, some analyses suggested that responding to MBK's tender offer might yield a higher expected return than responding to the Choi family's offer.

There was also a sentiment that selling shares at the current stock price would be more advantageous when considering taxes and other costs. Tender offers are classified as over-the-counter transactions, and capital gains are subject to a 22% tax. Selling shares that were priced in the 9,000 won range before the management dispute at 30,000 won would incur a tax of 4,000 to 5,000 won per share, even after some deductions.

An industry insider said, "Individual investors with relatively small holdings seem to have judged that it is better to trade in the market at the current stock price level rather than bear various costs such as taxes."

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