1. What Happened?

Daishin-Newgen New Technology Investment Association No. 2 sold Kortek shares, decreasing its stake from 12.49% to 10.24%. This was done after converting convertible bonds (CBs) into common stock and selling them on the market. The disclosure was made on August 8, 2025.

2. Why Did This Happen?

The investment association’s sale is likely for profit-taking. It’s interpreted as an intention to secure investment returns due to the rise in Kortek’s stock price.

3. So, What Will Happen to Kortek’s Stock Price?

Short-term impact: The release of approximately 2.25% of shares is expected to create short-term supply pressure and increased stock price volatility. There is also a possibility of investor sentiment contraction.
Long-term impact: Considering Kortek’s solid fundamentals, market dominance, and growth prospects, the impact of this stake change on long-term corporate value is expected to be limited.

  • Positive factors: Strong Q1 2025 earnings (sales up 17.3%, operating profit up 209%), stable financial structure (debt ratio 24.13%), positive outlook for the casino and PID markets
  • Negative factors: Short-term supply burden, possibility of additional stake sales

4. What Should Investors Do?

It is advisable to consider investing in Kortek from a long-term perspective based on its fundamentals and growth potential, while being mindful of short-term stock price volatility. Investors should continuously monitor factors such as additional stake sale plans, earnings growth, new business drivers, and macroeconomic variables.