Shares of Mona Yongpyong (formerly Yongpyong Resort) are fluctuating, marking a turning point after small shareholders announced plans for shareholder action. As an overlooked stock in the KOSPI market continuing its slide to new lows, market attention is focused on whether it can shed the stigma of being a low PBR (price-to-book ratio) stock.
On the 22nd, Mona Yongpyong closed regular trading at 1,998 won, up 93 won (4.88%) from the previous trading day. Intraday high reached 2,035 won, a rise of 130 won (6.82%), recording the highest gain for the month. On this day, market capitalization stood at 96.2 billion won, and PBR was 0.26.
Mona Yongpyong is considered an overlooked stock in the market, with average daily trading volume averaging only around 20 billion won since the beginning of the year. Out of 178 trading days, there were only 16 days where intraday price fluctuations exceeded ±5%.
The stock closed regular trading at a slightly weak level the previous day, then widened its gains in after-hours trading with a strong rise of over 4%. This came right after the Small Shareholder Alliance announced it had sent a formal notice demanding access to the shareholder register and related documents.
The alliance also added that it is currently conducting electronic signature procedures on the Act platform to obtain the shareholder register before sending out letters. According to Act, 221 shareholders holding a combined stake of 6.57% have united, surpassing the minimum threshold (3%) required to request an extraordinary general meeting.
According to public disclosures, Mona Yongpyong Bae Dang-i (EVP) last year. It issued exchangeable bonds (EB) as part of its treasury stock holdings. The shareholder alliance claimed that despite accumulating approximately 100 billion won in retained earnings, the company ignored shareholder return and consistently offered only generic responses without providing specific explanations regarding the profitability of development projects, borrowings, and financial costs.
Yoon Ji-hoon Joo Ju-yeon-dae (CEO) stated, "Despite numerous requests, we only received repeated answers promising review, but no substantive shareholder return measures were confirmed." He added, "Having given the company sufficient time for deliberation, we will now exercise our legal shareholder rights guaranteed under the Commercial Act without hesitation." An Act representative said, "We cannot continue to tolerate unjustified low valuations caused by the lack of a shareholder return policy."
Mona Yongpyong responded, "We are seriously recognizing the current stock price and are comprehensively reviewing measures to enhance shareholder value and appropriate timing. Specific details will be communicated to the market and shareholders through relevant procedures and public disclosures." It further stated, "We have been listening to opinions through shareholder dialogues and meetings so far, and we will continue to maintain communication with shareholders in the future."
Mona Yongpyong is a company operating a resort located in Pyeongchang, Gangwon Province. At the time of its KOSPI listing in May 2016, the initial public offering price was 7,000 won. The current largest shareholder is classified as part of the Unification Church group, specifically the World Peace and Family Federation Foundation, which holds a 45.85% stake as of the 15th of this month, including special related parties.
The company recorded consolidated sales of 250.1 billion won and operating profit of 23.3 billion won last year, achieving operating profits in the hundreds of billions of won for three consecutive years. However, its stock price has been on a downward trend since peaking at 15,200 won in 2017.
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