Share repurchases up 39 percent among major Korean firms, data tracker says

Stock retirement by major listed companies in Korea was up more than a third last year compared to the year prior, a corporate tracker said Wednesday.

Pictured is Shinhan Bank's headquarters in Jung District, central Seoul. Shinhan Financial Group posted the largest retirement of treasury shares last year with 386 billion won. [YONHAP]

Stock retirement by major listed companies in Korea was up more than a third last year compared to the year prior, a corporate tracker said Wednesday.

A total of 382 listed firms in 2023 repurchased their own shares, totaling 8.4 trillion won ($6.3 billion), up 39 percent from a year earlier, according to CEO Score.

Cancellation of treasury shares was valued at 4.8 trillion won, 33.3 percent more than a year ago.

Treasury shares are those repurchased by their issuing companies. Canceling treasury shares normally benefits investors as it reduces the number of shares being circulated in the market.

Major bank holding firm Shinhan Financial Group posted the largest retirement of treasury shares, with 386 billion won.

In terms of stock disposal, including compensation for executives and business tie-ups, leading automaker Hyundai Motor ranked first with slightly over 600 billion won.

Major pharmaceutical company Celltrion was the biggest purchaser of its own shares in 2023 with 886 billion won, trailed by Meritz Financial Group with 671 billion won and KB Financial Group with 572 billion won.

Meanwhile, the number of listed firms that repurchased shares in 2023 was down from 436 the previous year, according to CEO Score.

BY KIM JU-YEON, YONHAP [kim.juyeon2@joongang.co.kr]