Mgame will move to cancel all shares after buying back 2 billion won worth of treasury stock to stabilise its share price and enhance shareholder value.

Mgame decided to acquire 2 billion won worth of treasury shares, it disclosed on May 14.

The purchase period will run for 3 months from May 15 to Aug. 14, and will be carried out through on-exchange direct purchases in the KOSDAQ market. The company expects to acquire about 411,100 shares, based on the closing price of 4,865 won on the trading day before the board resolution, equivalent to about 2.14 percent of total shares outstanding. Mgame plans to cancel all treasury shares it acquires to effectively raise per-share value.

The decision is part of responsible management aimed at responding to volatility in domestic and external markets and restoring shareholder trust. The company will continue shareholder return policies such as cash dividends, while focusing on defending corporate value in the market through treasury share purchases.

Mgame is maintaining steady growth as the success of new mobile game GwiHonM added to solid overseas performance by online games Yulgang Online and Knight Online last year, helping it set record-high sales for the fourth consecutive year.

This year, it plans to sequentially launch within the year an idle mobile game using its intellectual property, GwiHon, and a new title in the Punglimhwasan series. It also plans to pursue publishing services for at least 1 mobile game to diversify its game lineup.

Kwon Yi-hyung (권이형), Mgame's chief executive, said the company decided on the share buyback to prioritise stabilising its share price and protecting shareholder interests given market conditions. He said it will proceed with current projects without disruption to pursue substantive growth, and will continue communicating with shareholders to raise corporate credibility.