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Photo = Yonhap news |
[Alpha Biz= Reporter Kim Jisun] Lotte Group has denied rumors circulating about a liquidity crisis that allegedly led to the decline in the stock prices of its major listed subsidiaries on the 18th. The group stated it is considering legal action, including investigating the originators and spreaders of the rumors.
On the same day, Lotte Corporation's stock fell by 6.59%, closing at 20,550 KRW. During intraday trading, it hit a 52-week low of 20,050 KRW, marking a drop of 8.86%. Lotte Chemical and Lotte Shopping also saw significant declines, with their stock prices dropping by 10.22% and 6.6%, respectively. Both companies reached new 52-week lows during the day, with Lotte Chemical falling to 65,900 KRW and Lotte Shopping to 58,000 KRW.
The stock price drops are believed to be tied to rumors about Lotte Group facing a liquidity crisis, which have spread in the securities market and online communities. These rumors included claims that Lotte would announce a moratorium (payment suspension) in early December and that it would lay off over 50% of staff in its retail divisions.
In response, Lotte Corporation, Lotte Chemical, and Lotte Shopping issued a public statement around 12:30 PM on the same day, asserting that the rumors regarding a liquidity crisis are "completely false." After the announcement, the stocks of Lotte subsidiaries reduced their losses, although trading activity remained subdued and they did not fully recover.
Alphabiz Reporter Kim Jisun(stockmk2020@alphabiz.co.kr)
