[Edaily Reporter Kwon Oh-seok] #Dasan Networks, which is pursuing a KOSDAQ listing for its air-cooled heat exchanger manufacturing subsidiary DTS, issued a statement on the 10th regarding the recent controversy over the “simultaneous listing of parent and subsidiary companies” and presented measures to enhance shareholder value.

Dasan Networks explained that this listing is fundamentally different from a so-called “split listing,” emphasizing that it is not a structure that separates the parent company’s core business, but rather the entry of a subsidiary into the capital market that has grown independently since its acquisition. The company maintains that DTS is not an organization spun off from an existing business unit, but rather a company that has grown based on its distinct business domain and technological competitiveness since its past acquisition and integration, and that its business structure is clearly distinct from that of the parent company.
The company stated that if DTS strengthens its independent management system and enhances its fundraising capabilities and external credibility through the listing, positive effects are expected in the pursuit of mid- to long-term growth strategies, such as expanding the acquisition of global projects and entering overseas markets.
In this regard, ISS (Institutional Shareholder Services), a global proxy advisory firm, issued a recommendation to vote in favor of all agenda items at the Dasan Networks extraordinary general meeting of shareholders. The market interprets ISS’s recommendation as a signal that the current listing structure is unlikely to harm shareholder interests.
Furthermore, there are expectations that if DTS’s corporate value—which was not fully recognized while the company was unlisted—is reevaluated by the market following the listing, the value of the parent company’s stake will also be more clearly reflected. Consequently, attention is also focusing on the possibility of a revaluation of Dasan Networks’ corporate value, which has been undervalued for a long time.
Dasan Networks announced that it will implement a shareholder return policy to share the benefits of its subsidiary’s listing with shareholders. The company explained that it is considering measures such as increased dividends, the cancellation of treasury shares, and the cancellation of bonds with warrants (BW).
A company official stated, “Through the listing of DTS, we will be able to secure funds for the subsidiary’s growth while simultaneously realizing the value of the parent company’s shares and expanding shareholder returns,” adding, “We will work to increase both corporate value and shareholder value through the implementation of substantive return policies and active communication with the market.”