On the 2nd, ahead of the handling of the amendment to the commercial law at the National Assembly's legislation and judiciary committee, the stock prices of holding companies are showing weakness across the board.

On the 1st, at the National Assembly in Yeouido, Seoul, they are banging the gavel during the 426th National Assembly (Extraordinary Session) 1st Plenary Meeting. The Legislation and Judiciary Committee holds a subcommittee meeting on the 2nd to process the amendment to the Commercial Act./Courtesy of News1

As of 9:07 a.m. on this day, Hanwha is trading at 101,700 won, down 7,100 won (6.53%) from the previous trading day. LS is down 5.59% to 199,200 won, LOTTE Corporation is down 2.82% to 29,300 won, and Doosan is trading at 589,000 won, down 2.64%, indicating a downturn in the stock prices of holding companies.

With the passage of the amendment to the commercial law becoming more apparent, it appears that profit-taking sell orders are being poured out due to material exhaustion. Once the amendment to the commercial law passes, it is expected that the corporate governance will normalize, and recently, stock prices of holding companies had been rising rapidly. In the case of Hanwha, the stock price, which had remained in the 20,000 won range for several years, sharply increased after May, surpassing 100,000 won based on the closing price on the 1st.

The Democratic Party of Korea plans to handle the amendment to the commercial law at the National Assembly's legislation and judiciary committee that morning. The amendment to the commercial law is mainly focused on expanding the scope of the duty of loyalty of directors from the company to "the company and shareholders." The party plans to pass the amendment at the plenary session of the National Assembly on the 3rd, the day after its handling by the committee.