Global Tax Free (hereinafter GTF), the leading tax refund company in Korea, announced on December 22 that it would withdraw its previously announced third-party allotment capital increase.
According to the Financial Supervisory Service’s electronic disclosure system on December 23, GTF submitted a disclosure stating that it was retracting the capital increase decision announced the previous day.
A company representative explained the reason for the withdrawal, stating, "We initially planned a third-party allotment capital increase, anticipating a temporary surge in funding needs due to accelerated overseas expansion and the simultaneous pursuit of overseas operations in multiple countries. However, after actively considering the voices of our shareholders, we have decided to withdraw the capital increase. Instead, we will secure the necessary funds through retained earnings and, if needed, by borrowing."
On December 22, GTF had disclosed its intention to raise 14 billion won through a third-party allotment capital increase for operating funds, including overseas business expansion. The company also submitted a disclosure regarding a share purchase agreement that would result in a change of the largest shareholder.
Kang Jinwon, CEO of GTF, stated, "Through discussions with the new largest shareholder, we will dispel market misunderstandings and, once distributable profits are secured based on improved future performance, we will strengthen shareholder return policies such as dividends and share buybacks. We will continue our efforts to enhance both shareholder and corporate value."
Kang further emphasized, "With the continued increase in the number of foreign tourists visiting Korea, participation in overseas market bids, and several overseas growth drivers such as the revision of Japan’s duty-free law, we expect to achieve record-high results on both a separate and consolidated basis next year."
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