[Special Stock] T'way-Related Shares Plunge on News of End to Management Dispute

As signs of resolution emerged in the management rights dispute of T'way Air, related stocks including T'way Holdings, T'way Air, Daemyung Sono Season, and Yerimdang all plummeted simultaneously.

As of 9:46 a.m. on the 18th, on the KOSPI market, T'way Holdings was trading at 735 won, down 21.81%, and T'way Air was at 2,760 won, down 19.06%. On the KOSDAQ market, Daemyung Sono Season was trading at 1,058 won, down 17.02%, and Yerimdang was down 3.40% at 2,130 won.

This followed news that the Daemyung Sono Group had entered negotiations to acquire shares of T'way Air from Yerimdang, the largest shareholder of T'way Air. In fact, Daemyung Sono withdrew all injunction applications for the agenda submission at the regular shareholders' meeting, as well as injunction applications for inspection and copying of the shareholder registry.

T'way Air shares are held 30.06% by Yerimdang and T'way Holdings, and 26.77% by the Daemyung Sono Group. If the two sides failed to reach an agreement, a vote battle was highly likely at next month's regular shareholders' meeting.

If the negotiations between the two sides conclude smoothly and the Daemyung Sono Group secures the shares held by Yerimdang, it will gain management rights of T'way Air.