(Photo = Yonhap news)

 

[Alpha Biz= Reporter Kim Jisun] Tae Young E & C submitted an objection to the Korea Exchange regarding the reason for delisting.

On the 11th, Tae Young E & C said, "In relation to the delisting standard due to the rejection of audit opinion in the auditor's audit report for the business year 2023, the company submitted an objection to the delisting on April 11, 2024."

Tae Young E & C said, "In this regard, the Korea Exchange will decide to grant a period of improvement in accordance with Article 25, Paragraph 5 of the Securities Market Listing Regulations."

Samjung Accounting Corporation, an external auditor, rejected Tae Young E & C's financial statements last year on the 20th of last month. The rejection of an accounting firm's opinion constitutes a reason for delisting.

If Tae Young E & C's objection is accepted, a maximum of one year of improvement period will be given through deliberation. If Taeyoung Engineering & Construction receives an appropriate opinion through a re-audit of its financial statements, it can be free from the reason for delisting.

The biggest reason why the accounting firm rejected its opinion is that Tae Young E & C's own settlement of accounts resulted in a net loss of KRW 1.6 trillion on a separate basis last year, falling into capital erosion.

Tae Young E & C says it is the result of zero debts to cover expected additional losses at real estate project financing (PF) sites, which may cause losses over the next few years.

Tae Young E & C has been discontinued since the 14th of last month.

 

 

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