이 기사는 2021년 06월 18일 06:41 thebell 에 표출된 기사입니다.

The value of treasury shares held by South Korean tech giant Kakao Corp has risen sharply compared with the beginning of this year as its stock price soars, raising possibilities for strategic partnerships and investments through stock swaps.

Kakao’s stock price closed nearly 1.4% higher at 144,500 won ($127.98) on Tuesday, jumping to a record high after seven days of rally. Its market capitalization also soared past Naver, previously the largest among tech stocks, to 64.15 trillion won.

Tuesday’s close represents an 82.44% increase compared to Kakao’s stock price of 396,000 won six months ago, which can be adjusted to 79,200 won for a stock split in April.

Its stock rally boosted the value of treasury shares held by Kakao. At the end of March, the company had about 2.46 million treasury shares, which are worth roughly 356 billion won as of Tuesday’s close. This represents a sharp increase from the 195 billion won six months ago based on about 2.49 million treasury shares at the end of December multiplied by a stock-split adjusted price of 79,200 won at the beginning of the year.

The value of Kakao’s treasury shares also rose by more than 80 billion won compared to before its stock split. The fast-growing tech company completed a one-to-five stock split on April 15 to encourage more small investors to buy its shares.

The rise in the value of treasury shares is considered a positive for Kakao, as treasury shares can be used as a tool in structuring strategic partnership deals as well as to boost shareholder returns.

For example, Naver in recent years has entered into strategic partnerships with Mirae Asset Daewoo, CJ Group and Shinsegae Group by doing share swaps, which enabled the internet giant to expand into new businesses with minimum cash outflows.

A stock-swap structure has not been used in Kakao’s partnership deals before. But with the rising value of its treasury shares, Kakao could be likely to consider this option in the future, industry watchers said. (Reporting by Hana Suh)