Authorities are paying close attention to JYP's tender offer... “Investigation begins when unfair trade is suspected”

Financial Supervisory Service: “It is very unusual to announce before submitting a tender offer report.”

JYP “We have not received any acquisition-related offers”

(Seoul = Yonhap News) Reporter Kang Ryu-na = Regarding the announcement of the intention to tender JYP Entertainment by two Japanese investment group companies, the Financial Supervisory Service said, "We are closely watching for abnormal transactions and violations of regulations," and announced that it will quickly initiate an investigation if unfair transactions are suspected.

On the 27th, the Financial Supervisory Service pointed out, "It is very unusual for a company to announce its intention to make a tender offer by distributing a press release before submitting a tender offer report, as in this case."

At the same time, he urged investors to pay special attention to stock price fluctuations, saying, “In a situation where a tender offer report has not been submitted, it is difficult to confirm information about the tender buyer and funds, and the transaction may not actually be carried out.”

The previous day, Japanese investment groups The NEXROC Group and SVCV, Inc. issued a press release and said, "We are pursuing the acquisition of JYP's shares. Both companies plan to make a tender offer as early as November," and added, "The acquisition target is 25 to 50% of JYP's issued stocks."

As stock price volatility increased after related reports, JYP Entertainment's stock price surged by 14% in the aftermarket the previous day, and closed up more than 6% that day as well.

However, JYP announced in a public announcement on the same day, "We have not received any proposals related to the acquisition of shares."