Companies may be delisted due to issues and audits

Economy

Companies may be delisted due to issues and audits

A total of 33 companies face the prospect of being delisted from the market due to poor financial health, the exchange operator said Tuesday.

After reviewing corporate business reports for 2018, the Korea Exchange (KRX) said it has found reasons for the possible delisting of five companies traded on the country's main Kospi bourse and 28 entities on the secondary Kosdaq market.

Of the total, 22 firms received sub-standard opinions, which includes disclaimers of opinion, from auditors on their financial statements. One failed to meet the conditions for share distribution for a second consecutive year, according to the KRX.

A disclaimer of opinion is given when information cannot be confirmed.

Yonhap