[Market Focus] Dreamus Company Jumps Over 6% on Share Buyback Plan to Enhance Shareholder Value

Dreamus Company surged by over 6% in early trading on May 22, following news that the company would initiate a tender offer for its own shares.

As of 10:40 a.m. on the same day, Dreamus Company was trading at 2,010 won on the KOSDAQ market, up 6.63% from the previous trading day. The stock opened at the daily upper limit of 2,450 won, then gave back some gains but continued its upward trend.

Before the market opened, Dreamus Company announced that it would purchase 1.52 million of its own shares at 2,500 won per share through a public tender offer. The company plans to retire all acquired shares to enhance shareholder value. The tender offer price is approximately 32% higher than the previous day's closing price of 1,885 won, and the total purchase amount is about 3.8 billion won. The tender offer period runs from May 22 to June 10, with the share retirement scheduled for July 10.

Dreamus Company is an SK Square affiliate that operates the music streaming service 'FLO'. SK Square is the largest shareholder with a 38.67% stake, while the second-largest shareholder is Shinhan Venture Investment. In January, Shinhan Venture Investment requested that Dreamus Company take measures to enhance shareholder value.