[Edaily Reporter Kwon Oh Seok ] ActRo(290740)has decided to cancel all of its treasury stock to enhance shareholder value.

ActRo announced that it held a board of directors meeting on the 1st and resolved to cancel all 493,541 shares of treasury stock it holds.
The treasury stock to be retired in this transaction is valued at approximately 5.6 billion won based on the closing price of 11,420 won on the 30th of last month. Based on book value, it amounts to approximately 4.4 billion won and represents 4.9% of the total issued shares prior to the retirement. The retirement is scheduled for the 19th of this month.
Once this treasury stock cancellation is complete, ActRo’s total number of issued shares will be significantly reduced from the current 10,065,011 shares to 9,571,470 shares. Consequently, as the number of shares in circulation decreases, the effect of rising per-share value is expected to take full effect. However, since the company is canceling the treasury stock directly, there will be no change in its capital stock.
The company explained that this measure is a proactive decision aimed at shareholder-friendly management and maximizing corporate value. Since its listing on the KOSDAQ market in 2018, ActRo has continued to pay cash dividends every year and has maintained excellent financial soundness by adhering to a “debt-free management” policy, without external borrowing or the issuance of convertible bonds (CBs).
The company also anticipates earnings momentum driven by the diversification of its business portfolio. ActRo relies on the supply of camera actuators for premium smartphones, such as the “Galaxy Z Fold 8,” as its core business, and has recently expanded into new business areas, including autonomous driving electronic components for North American automakers.
An ActRo official emphasized, “We will drive revenue growth by leveraging our exclusive supply contracts for new flagship smartphone models, while the results of the new business initiatives we have been preparing will also become visible and significantly contribute to earnings growth.” The official added, “We will continue to enhance corporate value by actively pursuing shareholder return policies alongside investor relations (IR) activities.”