South Korea Releases Dual-Listing Guidelines, Drawing Criticism From Companies and Investors

According to South Korea's Financial Services Commission and Korea Exchange on July 6, new guidelines were released for dual-listing exceptions. Under the rules, companies must obtain shareholder approval via a 3% voting cap mechanism for subsidiary listings or face individual exchange review. Listed companies argue the requirements effectively prohibit subsidiary listings and risk constraining venture investments. Institutional investors counter that the guidelines contain too many loopholes and vague provisions, potentially leading to legal disputes. Both sides called for clearer oversight mechanisms to address regulatory uncertainty.
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