[Special Stock] HYBE Drops Over 4%... Impact of Financial Authorities' Referral to Prosecutors

HYBE shares showed weakness in early trading on the 9th. Investor sentiment appears to have deteriorated following reports that financial authorities plan to refer HYBE Chairman Bang Si-hyuk to prosecutors.

As of 9:17 a.m. on this day, HYBE's stock price was down 4.09% from the previous trading day, standing at 270,000 won. The stock opened at 280,000 won and has continued to widen its losses.

The Capital Market Investigation Deliberation Committee, a review body under the Securities and Futures Commission (SFC) of the Financial Services Commission, held a meeting last week and decided to submit an opinion to the SFC recommending referral of Chairman Bang to prosecutors. The SFC plans to hold a regular meeting on the 16th to present and review the agenda related to Chairman Bang.

Previously, the Financial Supervisory Service had secured evidence that Chairman Bang, during HYBE's past listing process, misled shareholders by claiming there were no plans for an initial public offering (IPO) while actually pursuing the company's listing. The agency conducted an investigation into alleged fraudulent unfair trading under the Capital Markets Act.