Alphabiz - KT&G to Cancel Treasury Shares Worth KRW 1.85 Trillion to Boost Shareholder Value

Photo courtesy of Yonhap News

[Alpha Biz= Kim Jisun] T&G announced plans to cancel all of its treasury shares as part of efforts to enhance shareholder value.

On February 16, the company said its board of directors approved the cancellation of 10,866,189 treasury shares. Based on the previous day’s closing price, the total value of the shares amounts to approximately KRW 1.85 trillion. The cancellation is scheduled to take place on February 23.

The move follows the company’s earlier announcement on February 25, shortly after the passage of a proposed amendment to Korea’s Commercial Act that mandates the cancellation of treasury shares held by companies.

In addition, KT&G strengthened its shareholder return policy by approving an annual dividend of KRW 6,000 per share at its regular shareholders’ meeting on March 26, up KRW 600 from the previous year.

Alphabiz Reporter Kim Jisun(stockmk2020@alphabiz.co.kr)