GTF Holdings Expands Stake in Global Tax Free Through Open Market Purchases: "Confidence in Record-Breaking Performance"

GTF Holdings, the prospective new largest shareholder of Global Tax Free (hereafter GTF), Korea’s leading tax refund company, announced on January 23 that it has purchased GTF shares on the open market. The company explained that it made this move out of a strong sense of responsibility, believing that GTF’s value had become excessively undervalued due to the recent decline in share price. By increasing its stake, GTF Holdings aims to demonstrate its commitment to enhancing corporate value and expresses confidence in the company’s future performance.

According to the Financial Supervisory Service’s electronic disclosure system on January 23, GTF Holdings, the prospective new largest shareholder of GTF, has acquired an additional 1.06 million GTF shares through open market purchases. Once the change in the largest shareholder is finalized, its stake will increase to 22.59%.

A representative from GTF Holdings stated, “This open market purchase is intended to reinforce responsible management and clearly demonstrate our confidence in GTF’s performance this year, despite market concerns. We are taking proactive steps to restore investor trust and address the severe undervaluation by increasing our stake through open market purchases, signaling our confidence in future results.”

According to statistics from the Korea Tourism Organization, the estimated number of foreign tourists visiting Korea last year was 18.98 million, an increase of about 16% compared to the previous year (2024: 16.37 million). Meanwhile, on a standalone basis, GTF’s cumulative sales and operating profit for the first three quarters of last year reached 96.4 billion won and 19.6 billion won, respectively, already surpassing its entire 2024 results (sales: 93.6 billion won, operating profit: 18.6 billion won). Furthermore, with the onset of the peak season in the fourth quarter, GTF is expected to deliver a record-breaking earnings surprise for its full-year 2025 results.

A GTF representative commented, “We understand that GTF Holdings increased its stake through open market purchases to address the company’s undervaluation and enhance shareholder value. Based on strong future performance, if distributable profits are secured, we plan to strengthen our shareholder return policy through dividends, share buybacks, and further stake increases, continuing our efforts to enhance both shareholder and corporate value.”

The representative added, “Despite the sunset of the value-added tax refund system for medical services, we expect solid year-on-year growth in the first quarter of this year. With the continued increase in foreign tourists visiting Korea, overseas market bids in countries such as Thailand and Singapore, and the revision of Japan’s consumption tax exemption system, we anticipate unprecedented overseas growth momentum. As a result, we expect both standalone and consolidated results to reach all-time highs again this year.”

Meanwhile, in a recent work report submitted to the Ministry of Culture, Sports and Tourism, the Korea Tourism Organization announced its plan to usher in the era of 20 million foreign tourists visiting Korea this year. The organization aims to accelerate the achievement of 30 million visitors, originally targeted for 2030, by promoting “Hallyu-Convergence Tourism” through the development of K-culture-linked products and strengthened campaigns.