[Edaily Reporter NA EUN-KYUNG ] SLSBio(Specialty Lab Solution Bio) Co., Ltd(246250)has filed a motion with the court for a provisional injunction to suspend the Korea Exchange’s delisting decision. As a result, the delisting procedures—including the liquidation trading scheduled to begin on the 27th—have been put on hold.

SLSBio(Specialty Lab Solution Bio) Co., Ltd announced on the 26th that it had filed a motion with the Seoul Southern District Court against the Korea Exchange seeking a preliminary injunction to suspend the effectiveness of the delisting decision and related measures.

The company requested that the effectiveness of the delisting decision issued by the Korea Exchange on the 23rd be suspended until a final judgment is rendered on the merits of the case. It also requested that the liquidation trading procedures resulting from the delisting not be carried out.

In a separate market notice issued the same day, the Korea Exchange confirmed that it had received notice of SLSBio(Specialty Lab Solution Bio) Co., Ltd.’s application for a preliminary injunction and announced that it would suspend the scheduled delisting procedures until a court decision is issued to protect investors.

Previously, on the 23rd, the KOSDAQ Market Committee of the Korea Exchange decided to delist SLSBio(Specialty Lab Solution Bio) Co., Ltd after comprehensively considering the company’s going concern and management transparency.

The crisis leading to the delisting of SLSBio(Specialty Lab Solution Bio) Co., Ltd began last June when the company failed to secure re-designation as a pharmaceutical testing and inspection agency from the Ministry of Food and Drug Safety. This caused disruptions to its core business of pharmaceutical quality testing and raised concerns about the company’s ability to continue as a going concern. Consequently, trading in the company’s shares was suspended starting June 9 of last year.

Although the company subsequently received re-designation as a testing and inspection agency in October of last year, it failed to pass the Korea Exchange’s listing eligibility review.

SLSBio(Specialty Lab Solution Bio) Co., Ltd is a company engaged in pharmaceutical quality testing and in vitro diagnostics. After listing on the KONEX market in 2016, it transferred its listing to the KOSDAQ market in October 2023.

Its financial performance has also deteriorated. Revenue, which stood at 10.8 billion won in 2022, fell to 4.0 billion won last year. During the same period, operating profit turned from a 2.4 billion won surplus to a 4.1 billion won deficit.

Originally, the exchange had planned to conduct liquidation trading for seven trading days, from the 27th of this month to the 4th of next month, followed by delisting on the 5th of next month. However, following this application for a preliminary injunction, all of these schedules have been put on hold.

However, the suspension of the liquidation trading period does not mean the delisting decision has been revoked. Whether the delisting process will resume and the schedule for doing so will be determined based on the court’s ruling on the preliminary injunction.