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Photo = Netmarble |
[Alpha Biz= Paul Lee] Netmarble has decided to withdraw the planned initial public offering (IPO) of its key subsidiary Netmarble Neo and instead proceed with making it a wholly owned subsidiary.
On March 25, Netmarble announced a comprehensive share exchange with Netmarble Neo. The exchange ratio was set based on a valuation of KRW 51,969 per Netmarble share and KRW 6,031 per Netmarble Neo share. Under the agreement, Netmarble Neo shareholders will transfer their holdings to Netmarble and receive 0.1160410 shares of Netmarble for each share of Netmarble Neo.
Separately, Netmarble disclosed that it has entered into a trust agreement to repurchase treasury shares worth KRW 82.7 billion, equivalent to the number of new shares to be issued, in order to prevent dilution of existing shareholders’ equity and enhance shareholder value. The repurchased shares will be fully canceled within the year after the trust agreement expires.
Through this move, Netmarble aims to proactively address concerns over duplicate listings while strengthening its competitiveness by integrating game software development and publishing capabilities. The company also stated that it plans to improve management efficiency by establishing a faster decision-making structure.
Alphabiz Reporter Paul Lee(hoondork1977@alphabiz.co.kr)
