SK Securities has seen its shares rise for the second consecutive trading day as it facilitates a large-scale stock buyback for SK Hynix.
As of 9:24 a.m. on the Korea Exchange, SK Securities shares were trading at 3,270 won, up 460 won (16.37%) from the previous day. The stock had surged 29.79% the day before, hitting the upper limit.
The increase in SK Securities' stock price is attributed to expectations of expanded brokerage fee revenue from SK Hynix's approximately 40 trillion won stock buyback.
On August 19, SK Hynix's board of directors decided to buy back 24.07 million common shares on the market to enhance shareholder value, with plans to retire all purchased shares. The total acquisition amount is expected to be 40.43 trillion won, representing about 3.3% of the total issued shares.
The buyback period runs from August 20 to November 19. The actual number of shares acquired and the total amount will vary based on stock prices during the buyback period. SK Hynix plans to retire all shares purchased after the buyback period ends.
SK Securities has been selected as the brokerage for this stock buyback. SK Hynix's daily purchase limit is set at 2.407 million shares. Given the substantial buyback amount and the three-month duration, there are expectations that SK Securities will generate significant brokerage fee revenue.
On the first day of the buyback, August 20, SK Hynix purchased 650,000 shares for a total of 1.09 trillion won on the market.
* This article has been translated by AI.
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