The KOSDAQ exchange has recently intensified legal disputes over “delisting” procedures, raising concerns about the stability of small‑cap companies’ operations. While several dozen firms, including E&F and others, have tried to sell shares via private transactions (정리매매) ahead of delisting, the exchange has been reviewing whether such arrangements can be deemed a form of settlement.
The step preceding delisting is 정리매매, which gives investors an opportunity to dispose of shares. However, if the transaction stalls, some investors may find their funds tied up, and new buyers of the shares are similarly affected. Even after a company has been granted settlement relief, the exchange can still file separate settlement claims against it, meaning that the delisting process could continue. Thus, a single act of delisting does not automatically allow immediate buying or selling of the shares.
These legal disputes are directly linked to KOSDAQ’s efforts to improve listing standards. The government has progressively tightened the criteria for maintaining listings; in January this year it set a 15‑billion‑won threshold, and in July it raised that figure to 20‑billion won. It is expected to rise to 30‑billion won next July. If legal disputes spread, the policy intended to prevent rapid exit of small‑cap firms may become ineffective. Conversely, even if the listing standards are low, it remains difficult to assess a firm’s overall financial health, and a delisting process that stops excessive exits is still needed.
The securities regulator has stated that “to keep KOSDAQ on an upward trajectory, we must provide investors with confidence.” It emphasized that the exchange should articulate clear settlement conditions for companies facing settlement relief and adopt a rule that allows 정리매매 to be suspended. This represents substantive measures aimed at ensuring small‑cap investment and overall market stability.