KCC is experiencing a surge of over 9% after announcing a new special dividend policy linked to Samsung C&T's special dividend, enhancing its shareholder return strategy.
According to the Korea Exchange, as of 1:53 PM, KCC shares were trading at 477,500 won, up 40,000 won (9.14%) from the previous trading day. The stock price increased significantly after KCC disclosed its corporate value enhancement plan at 10:48 AM, reaching a peak of 489,500 won, nearly a 12% rise during the session.
The most notable aspect of the corporate value enhancement plan is the improvement in the dividend policy. KCC has decided to introduce a special dividend linked to Samsung C&T's special dividend, in addition to its existing dividend policy.
KCC is the second-largest shareholder of Samsung C&T, holding a 10.49% stake. If Samsung C&T increases its dividend payout, KCC's resources for shareholder returns could also expand.
KCC also revealed plans to utilize its treasury shares, either by retiring them or using them for employee compensation.
Previously, KCC's dividend amount increased, with the 2025 profit dividend amounting to 110.3 billion won, a 50% increase from 73.5 billion won in 2024. However, the dividend payout ratio for 2025 was around 7.2%.
The company is also implementing financial structure improvements and asset liquidity measures to enhance corporate value. KCC has completed refinancing through the issuance of liquidity for HD Korea Shipbuilding & Offshore Engineering and plans to sell investment assets at an appropriate time, returning part of the sale profits to shareholders.
Governance has also improved, with KCC's compliance rate for key governance indicators rising from 73.3% to 86.7%, achieving its original 2030 target ahead of schedule.
* This article has been translated by AI.
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