What's the Connection with 'WEMIX'?…This Person Anxiously Watches as Delisting is Confirmed

Korea Economic Daily

Summary

Alpha Asset Management reportedly purchased ₩35 billion worth of Wemade shares in two rounds.
It was stated that due to the delisting of WEMIX, Wemade’s stock has dropped by more than 20%, increasing management companies’ losses.
It was noted that the Wemade shares purchased by Alpha Asset Management are subject to resale restrictions, making liquidation difficult for now.

Actress Jeon Ji-hyun's Husband, CEO Choi Jun-hyuk, Leads

Alpha Asset Management, Suffered 'Losses' After Investing in Wemade

As the delisting of the virtual asset WEMIX, which once boosted Wemade's stock price, is now effectively confirmed, the loss for funds managed by Alpha Asset Management—led by actress Jeon Ji-hyun’s husband, CEO Choi Jun-hyuk—is increasing. Alpha Asset Management purchased a total of ₩35 billion worth of Wemade shares in two rounds.

On the 30th of last month, Civil Settlement Division 50 of the Seoul Central District Court (Chief Judge Kim Sang-hoon) dismissed Wemade’s request for an injunction to suspend enforcement against four exchanges belonging to the Digital Asset eXchange Alliance (DAXA), namely Bithumb, Coinone, Korbit, and Gopax. This has confirmed the delisting of WEMIX from the exchanges.

The court pointed out that Wemade had been negligent in disclosing important facts at the time of the hacking incident and that its subsequent explanations were unclear. DAXA designated WEMIX as an item requiring caution on the 2nd, then finally decided to delist it.

Due to the WEMIX delisting, management companies that invested in Wemade are now facing deeper concern. The main driving force behind the stock price rise has disappeared, and it is said that there are no clear catalysts for a rebound until the performance of new releases can be confirmed. Wemade’s stock price has fallen more than 20% this year.

Based on the current price (closing price on the 5th: ₩27,550), a simple calculation shows Alpha Asset Management's Wemade investment fund has posted an estimated loss of about ₩14.5 billion. Wemade’s largest shareholder, Chairman Park Kwan-ho, transferred about ₩15 billion worth of Wemade shares to the 'Alpha Pio Warrior New Technology Investment Association No. 1,' established by Alpha Asset Management in October 2023. At that time, the price per share was ₩34,894.

Then, in January 2024, 313,053 shares were acquired for ₩20 billion under the name 'Alpha Beta General Private Equity Investment Trust,' through an over-the-counter (OTC) transaction. The price set per share at that time was ₩63,887, about 10% higher than the closing price on the trading date. Each batch of these shares carries a disposal restriction (security interest) until March and August 2026, making liquidation difficult for the time being.

Reporter Song Jong-hyun scream@hankyung.com

WEMIX