[News Space=Reporter seungwon lee] 14 companies listed on the Korea Exchange and 43 companies listed on KOSDAQ are facing the risk of delisting.

The Korea Exchange has released the 'Current status of market measures related to the settlement of accounts for corporations with fiscal year ending in December 2024' for listed companies on the Korea Exchange and KOSDAQ.

As a result of this settlement, the stock market took market measures, including ▲14 companies experiencing reasons for delisting, ▲4 companies newly designated as management stocks, and ▲3 companies having their designation lifted.

According to the data on corporations with fiscal year ending in December 2024 announced by the Korea Exchange on the 9th, there are 14 companies that have been delisted from KOSPI.

Among them, ▲Beomyang Construction ▲KC Cottrell ▲KC Green Holdings ▲Kumyang ▲Sambu Construction ▲Star SM Ritz ▲EN Plus, 7 companies received audit opinion refusal for the first time last year. The companies that received audit opinion refusal for 2 consecutive years are ▲Kukbo ▲Well Biotech ▲Hanchang ▲EID, 4 companies, and ▲IHQ ▲KH Philux ▲Sewon E&C, 3 companies that received audit opinion refusal for 3 consecutive years.

The Listing Disclosure Committee has already decided to delist IHQ, KH Philux, and Sewon E&C.

Listed companies that receive the first audit opinion rejection can file an objection within 15 days of the delisting notice, and the exchange will decide whether to grant an improvement period when an objection is filed. For companies that have had the above reasons for two consecutive years, the improvement period will end by the 14th of this month, and the Listing Disclosure Committee will deliberate and decide whether to delist.

Beomyang Construction, Star SM Ritz, and ENPLUS were newly designated as management stocks, and Dynamic Design became a management stock with limited audit scope. On the other hand, the three companies (Airitz, Taeyoung Construction, and Inbiogen) that were previously designated as management stocks were de-designated.

In the case of KOSDAQ listed companies, there were 43 companies including Ioflow, Jeil M&S, and Tobesoft that were delisted last year due to lack of auditor opinions. Among them, 19 companies received lack of auditor opinions for the first time, including ▲MIT ▲GW Biotech ▲Korea Union Pharmaceutical ▲DMS. Of these, MIT was delisted last year due to reasons for delisting deliberation in the substantive review.

The companies that received a disappointing audit opinion for two consecutive years are ▲Winia Aid ▲Genen Bio ▲Sunshine Food ▲Kodaco, etc. 20 companies. ▲Hanul BnC ▲KH Mirae Trading ▲KH Construction ▲Jangwon Tech, etc., which received a disappointing audit opinion for three consecutive years, have already been decided to be delisted.

Compared to the previous year, the number of listed companies with new audit opinions decreased by 12 (from 31 to 19).

KOSDAQ listed companies that receive a 'rejection' audit opinion for the first time will receive objections from listed companies within 15 business days from the date of delisting notice, just like the stock market. When objections are filed, a 10-day improvement period is granted from the day following the statutory submission deadline for the next business report.

Companies that have received an unsatisfactory audit opinion for two consecutive years will be subject to delisting after deliberation and resolution by the Corporate Audit Committee this year. For listed companies that have received an unsatisfactory audit opinion for three years or more, delisting has already been decided, so there is no separate delisting procedure.

A total of 31 companies were newly designated as investment caution companies, and 31 companies were de-designated. Due to a decrease in the occurrence of reasons for inappropriate internal accounting management systems, the number of new designations decreased by 4 from 35 to 31 compared to the previous year, while the number of de-designations increased by 5 from 26 to 31.