Shares of Ice Cream Edu have surged after its largest shareholder, Sigong Tech, announced a public buyout offer at 1,200 won per share. The buyout price is more than 30% higher than the previous day's closing price, attracting significant buying interest. However, concerns about potential delisting remain due to ongoing issues that led to the company's designation as a management issue.
As of 1:47 PM on September 10, Ice Cream Edu's stock was trading at 1,130 won, up 212 won (23.09%) from the previous trading day. The stock opened at 1,125 won and briefly reached a high of 1,168 won during the session.
The surge in stock price is attributed to the filing of a public buyout report by Sigong Tech the previous day, which prompted increased buying activity. Sigong Tech announced it would buy up to 3.6 million shares of Ice Cream Edu at 1,200 won each, a 30.72% premium over the previous closing price of 918 won.
The buyout targets 3.6 million shares, representing 25.82% of the total issued shares. The buyout period runs from today until September 29. Sigong Tech currently holds 3,983,857 shares of Ice Cream Edu, equating to a 28.57% stake.
Sigong Tech explained that the purpose of the buyout is to provide all shareholders with an opportunity to recover their investments under more favorable conditions than the current market environment, as the company's management performance has not been adequately reflected in market evaluations. Additionally, it aims to strengthen responsible management by acquiring more shares of Ice Cream Edu and establishing a foundation for consistent long-term management strategies.
Previously, Ice Cream Edu was designated as a management issue on August 4 due to its market capitalization falling below 20 billion won. On August 13, the designation was further justified as the stock price continued to remain below the threshold.
With the stock price recovering above the 1,000 won mark today, concerns about delisting have not been alleviated. If Ice Cream Edu fails to resolve the issues leading to its management designation within the specified period, delisting procedures may be initiated.
* This article has been translated by AI.
Copyright ⓒ Aju Press All rights reserved.