[Edaily Reporter Kim Kyung-eun] #Shinyoung Securities is significantly strengthening shareholder returns by proactively canceling treasury shares amounting to 32% of its total shares and setting the dividend per share at 7,500 won, a 2,500 won increase from the previous year.

According to the financial investment industry on the 4th, Shin Young Securities will propose a plan to cancel and utilize 8,422,754 treasury shares (51.23% of total issued shares) at its regular shareholders’ meeting on the 19th.

The planned cancellation volume is 5,262,283 shares, representing 32.01% of all issued shares and 62.48% of the treasury shares held. The remaining 3,160,471 shares (19.22% of issued shares) will be retained or disposed of to enhance shareholder value, provide shareholder returns, and reward employee performance.

The key to this cancellation decision is speed. According to the recently announced third amendment to the Commercial Act, treasury shares acquired before the law takes effect must be canceled by September 2027—within one year and six months of the effective date—or managed in accordance with a retention or disposal plan approved by the general meeting of shareholders. Shin Young Securities has brought this agenda item to the current general meeting more than a year ahead of the statutory deadline.

The company explained, “This is to acknowledge the market’s concern regarding the high proportion of treasury stock and to resolve uncertainties regarding future utilization plans at an early stage.”

The company also presented specific plans for utilizing the remaining treasury shares. The plan is to return value to shareholders through in-kind dividends and provide performance-based compensation using treasury shares to employees, thereby enhancing a management mindset focused on shareholder interests. At the same time, the company intends to reduce cash outflows, utilize the secured funds for strategic business expansion, and establish a virtuous cycle where the resulting profits are returned to shareholders.

Cash dividends have also been significantly increased. For this fiscal year’s dividend, the dividend per ordinary share has been set at 7,500 won—a 2,500 won increase from the previous year—and the total dividend amount will rise by approximately 20 billion won. As the company meets the criteria for a high-dividend firm, shareholders are expected to benefit from separate taxation on dividends.

An official from Shin Young Securities stated, “Rather than delaying the decision until the legal deadline, we intend to proactively determine the scale of the buyback and use the remaining treasury shares to maximize shareholder value, and we aim to convey this commitment to the market through this AGM.”