[재계 리포트] Osstem Implant avoids ‘commercial closing’, resumes trading stock price ‘surges’ repeats

Osstem Implant, which was on the verge of being delisted due to the embezzlement of 200 billion won by an internal employee of the company, managed to rehabilitate and resumed stock trading from today. Since trading was resumed after about 4 months of suspension, interest in the share price has been drawn.

Osstem Implant announced on January 3 that Mr. Lee, who was an employee in charge of internal money management, had embezzled 221.5 billion won and sued Mr. Lee for embezzlement. After that, a reason for the substantive examination of eligibility for listing occurred and stock trading was suspended.

The Korea Exchange held a corporate review committee on the 29th of last month for Osstem Implant, which was determined to be the subject of a substantive examination for listing eligibility, but in the process of discussing whether to maintain the listing, it was delayed due to the opinion that efforts to improve governance should be observed in the future. .

Accordingly, Osstem Implant requested Samil Accounting Firm to design and apply the advanced internal accounting management system to express its will to improve the governance structure. was established, the majority of outside directors were appointed, and the designation of a compliance officer was decided.

Also, on the 27th, when the committee was held, Osstem Implant announced a plan to buy back 30 billion won worth of treasury stock. Osstem Implant CEO Uhm Tae-gwan said in a public announcement, “We have decided to buy back stock to protect shareholders and enhance shareholder value.”

The Korea Exchange held a screening committee on the same day and said, “Osstem Implant has made efforts to improve its governance structure by appointing a majority of outside directors through regular shareholders’ meetings and establishing an audit committee. After reviewing the qualifications for listing, we decided to keep the listing and resume trading,” he explained.

As of the 28th, the first day that Osstem Implant’s stock trading resumed according to the exchange’s decision to maintain listing, the stock price is repeating sharp fluctuations in the early part of the market.

The closing price of Osstem Implant before the suspension of trading was 142,700 won. As of 9:15 am, it was traded at 125,400 won, up 4,400 won (3.55%) from the previous trading day. During the day, it fell to 116,500 won and rose to 131,900 won, increasing volatility. As of 11:45 a.m., it is trading again at 113,300 won, down 6.36% (7,700 won).

On the other hand, Osstem Implant recorded a surplus of 20 billion won last year even after reflecting the loss caused by employee embezzlement. Osstem Implant’s sales and operating profit increased 30% YoY to W824.5bn and 46% YoY to W143.3bn, respectively.

In addition, Osstem Implant’s tentatively announced first quarter results were 234.1 billion won in sales and 51.2 billion won in operating profit, down 1.8% from 238.3 billion won in sales in the fourth quarter of last year, but operating profit increased by 6.4%. This is an increase of 36.5% and 100.5%, respectively, compared to the same period last year.

Despite the employee embezzlement incident, Osstem Implant generated a significant surplus as sales increased in China and abroad as well as at home and abroad.

Osstem Implant set a sales target of 1 trillion won this year and announced a plan to target global markets and review mergers and acquisitions through core technology.