[Last updated: 1 January 2024, unless otherwise noted]
To qualify for listing, a company must meet at least one of the following tests:
Note: Certain types of companies are subject to modified listing and ongoing compliance rules. For example, when the KRX conducts a qualitative review of large companies that meet certain criteria, the KRX may not consider corporate sustainability. In addition, for a listed company whose total assets as at the end of the latest business year exceed KRW 2 trillion (approx. US$1.54 billion), more rigorous criteria are applied regarding independent directors and establishing an audit committee. Fast track listings may be used by public corporations and for second listings by foreign companies, in certain circumstances.
[Last updated: 1 January 2024, unless otherwise noted]
Share price. The KRX does not require a minimum trading price.
Distribution. To list its securities, the applicant must have:
- At least 10% of its shares in public hands.
- At least 500 shareholders.
Capital size. Shareholders’ equity must be greater than KRW 30 billion (approx. US$23.1 million), and the number of shares to be listed must exceed one million.
Operating history. A listing applicant for KOSPI market must have been incorporated and operating at least three years.
Accounting standards. The audited financial statements must be prepared in accordance with K-IFRS, while the financial statements attached to a listing application of a foreign company should be prepared in accordance with K-IFRS, International Accounting Standards or US GAAP.
Financial statements. The listing document must generally include three years' audited financial statements and, if the latest financial year ended more than six months and 45 days before the date of the listing document, financial statements for the year of the listing review must also be included.
Other markets. The KRX also offers listings on the KOSDAQ Market, which has less stringent listing requirements. Information about the KOSDAQ Market can be found in the long-form KRX chapter of this Guide.
[Last updated: 1 January 2024, unless otherwise noted]
The KRX Listing Disclosure Committee will evaluate the company to determine whether the company meets the requirements of the KRX Listing Regulations. Below is a fairly typical process and timetable for a listing of a company on the KRX.
[Last updated: 1 January 2024, unless otherwise noted]
Requirements for public companies include:
- Appointment of a prescribed number of independent directors.
- Establishment of an audit committee, when the company's total assets as at the end of the latest business year exceed KRW 2 trillion (approx. US$1.54 billion).
- Independent business management and auditors.
- Internal control regulations are established and implemented to be compatible with related regulations.
- Human resources necessary to adequately perform the disclosure obligations.
- Transparency of accounting management.
A listed company has continuing disclosure and reporting obligations under the Financial Investment Services and Capital Markets Act and the KOSPI Market Disclosure Regulation.
A listed foreign company has additional reporting obligations regarding the report obligations and other exchange-related events in its home country.
[Last updated: 1 January 2024, unless otherwise noted]
A company seeking to list must pay listing review fees, initial listing fees and ongoing fees. The listing review fee ranges from KRW 5 million (approx. US$3,850) to KRW 20 million (approx. US$15,400) depending on the equity capital of the company to be listed. The initial listing fee ranges from KRW 1 million (approx. US$770) to KRW 250 million (approx. US$192,500) depending on the monetary value of the equity securities to be listed. The annual listing fee ranges from KRW 1.2 million (approx. US$924) to KRW 50 million (approx. US$38,500), depending on the average market capitalization.