Theborn Korea shares in freefall despite CEO's apology
Theborn Korea shares have been on a sharp downtrend for days, battered by a slew of product quality scandals and alleged mismanagement, market analysts said Thursday. Company CEO Paik Jong-won said recently that he would indefinitely suspend TV and online broadcast appearances, pledging a support package of 5 billion won ($3.5 million) for its franchisees. However, investor sentiment remains deeply negative. The analysts say the shares will not be able to find a breakthrough, given “stock overhang,” a large block of shares that could significantly depress the stock price if released into the market all at once. The share lock-up period of six months expired as the company went public on Nov. 6, 2024. This means that more than 4.8 million shares, or about 33 percent of the total, held by Paik and other firm executives will be able to be traded. Also up for release are 282,000 shares held by institutional investors. According to the Korea Exchange, Theborn Korea shares closed at 26,400 won on Wednesday, down about 2 percent from the previous session. This was the lowest closing price si
May 8, 2025By Lee Kyung-min