Dongwookang Pharmaceutical to Trade on K-OTC Market Starting from the 24th

[Asia Economy Reporter Minji Lee] The Korea Financial Investment Association announced on the 22nd that trading will begin on the K-OTC market starting from the 24th.

Dongwodang Pharmaceutical was established in 2002 with the purpose of researching herbal medicine, popularizing Korean traditional medicine, and treating intractable diseases. The company is pioneering the market with functional beverages and health foods related to osteoporosis research and osteoarthritic diseases.

A representative from Dongwodang Pharmaceutical stated, “Interest in health has greatly increased due to COVID-19,” adding, “We plan to continuously research and develop products that can help public health, such as boosting immunity, preventing chronic diseases, and musculoskeletal disorders.” As of the most recent fiscal year-end, the company recorded total assets of 14.7 billion KRW, total liabilities of 9.6 billion KRW, total equity of 5.1 billion KRW, and a net profit of 110 million KRW.

Nam Dalhyun, Head of Market Management at the Korea Financial Investment Association, said, “The K-OTC market, the only regulated over-the-counter stock market in Korea, provides investors with transparent and convenient trading and a stable settlement environment. For companies, it actively supports them to be recognized with appropriate value in the K-OTC market and to lay the foundation for future growth.”

Dongwodang Pharmaceutical will be tradable through securities firms’ HTS starting from the 24th. On the first trading day, transactions can occur within a range of 30% to 500% of the net asset value per share. Thereafter, the price limit will be ±30% of the previous day’s weighted average price. With Dongwodang Pharmaceutical’s new registration approval, eight companies entered the K-OTC market in 2021, increasing the total number of companies to 137.