Finally, the long-awaited 3rd amendment to the Commercial Law on treasury stock cancellation has passed!!!!
I selected and invested in SK and Mirae Asset Securities, which have treasury stock ratios of around 25% among companies with high treasury stock holdings
situation. I excluded Lotte Group and Taekwang Industries because they showed irregular movements through loopholes once the 3rd Commercial Law amendment was anticipated last year
did so.
Yesterday on Friday, "Mirae Asset Life" also hit the daily limit, so I checked and found that its treasury stock is about 26% ㅎㅎㅎ
Anyway, I expect it to maintain an upward trend until the plenary vote.
SK, a holding company, is believed to have around 15% treasury stock generated from mergers and acquisitions in the past, and Rep. Kim Jae-seop
represented SK's position, but it ultimately was not realized ㅎㅎㅎ Please refer to this for your investment and good luck with your trades!!
The so-called '3rd amendment to the Commercial Law,' which mandates the cancellation of treasury stocks held by companies, at the National Assembly's Legislative and Judicial Affairs Committee
was passed under the leadership of the ruling party in the Bill Review Subcommittee.
The Legislative and Judicial Affairs Committee Bill Review Subcommittee 1 handled the Commercial Law amendment through a vote at the meeting.
The amendment contains provisions that establish as a principle the cancellation of treasury stocks within one year if a company acquires them.
In response, Rep. Kim Jae-seop of the People Power Party submitted an alternative to the 3rd Commercial Law amendment that treasury stocks
acquired for unavoidable reasons such as corporate mergers and acquisitions (M＆A) would be excluded from mandatory cancellation, but this was not accepted.
The Democratic Party's goal is to process the 3rd Commercial Law amendment at the full Legislative and Judicial Affairs Committee meeting on the 23rd, and then complete the plenary procedures at the National Assembly in February.
