SK Square, the holding company of SK Hynix, a maker of artificial intelligence chips, on Thursday announced a plan to buy back shares and nominate an independent director as part of efforts to boost shareholder value. <\/p>\n
The plan came after London-based hedge fund Palliser Capital this year proposed changes to address the undervaluation of the company and South Korea’s government has implemented a “Value-Up” programme to bolster stock prices. <\/p>\n
SK Square said it plans to cancel 100 billion won ($71.51 million) worth of shares that it had bought back in April, while planning to repurchase another 100 billion won worth of shares within the next three months and cancel those shares. <\/p>\n
It also announced other measures to boost the value of the company, which holds a 20% stake in SK Hynix, a South Korean firm that posted a record quarterly profit thanks to booming AI chip demand from customer Nvidia. <\/p>\n
SK Square’s market value is less than half the $18 billion value of the stake it holds in SK Hynix. <\/p>\n
Palliser Capital acquired a 1% stake in the company this year, a person familiar with the matter told Reuters, adding that the two have had talks on enhancing shareholder returns. <\/p>\n
This year, the Korea Exchange, a securities exchange operator in the country, launched a new stock market index comprised of listed companies making an effort to raise market value, hoping to give companies an incentive to follow the government’s initiative.<\/p>\n","protected":false},"excerpt":{"rendered":"
SK Square, the holding company of SK Hynix, a maker of artificial intelligence chips, on Thursday announced a plan to buy back shares and nominate an independent director as part of efforts to boost shareholder value. The plan came after London-based hedge fund Palliser Capital this year proposed changes to address the undervaluation of the company and South Korea’s government has implemented a “Value-Up” programme to bolster stock prices. SK Square said it plans to cancel 100 billion won ($71.51 million) worth of shares that it had bought back in April, while planning to repurchase another 100 billion won worth […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[7],"tags":[],"class_list":["post-879379","post","type-post","status-publish","format-standard","hentry","category-it-2"],"acf":[],"_links":{"self":[{"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/posts\/879379","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/comments?post=879379"}],"version-history":[{"count":0,"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/posts\/879379\/revisions"}],"wp:attachment":[{"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/media?parent=879379"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/categories?post=879379"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/telecomlive.in\/web\/wp-json\/wp\/v2\/tags?post=879379"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}