[Featured Stock] Sanquan Pharmaceutical's stock price drops 5% after being accused of potentially being included in the list of false publicity designations

Three Thousand Miles Pharmaceuticals shows weakness in trading due to concerns over being designated as a false disclosure entity by the regulator. Market interpretation suggests that on the eve of the Korea Exchange Disclosure Committee review, the possibility of sanctions becomes prominent, leading to a decline in investor confidence.

During trading, Three Thousand Miles Pharmaceuticals’ stock price was 527k Korean won, down 28k won (5.05%) from the previous day. The opening price was 549k won, with a low of 521k won during the session.

The Korea Exchange previously announced on March 31 that it would designate Three Thousand Miles Pharmaceuticals as a false disclosure entity. The reason is that the company failed to provide fair disclosure regarding its performance outlook or forecasts. The exchange judged that the company only released related information via a press release on February 6 and did not conduct formal disclosure.

Whether the designation will ultimately be made is expected to be decided after review by the Disclosure Committee on April 23. If penalty points reach more than 8, the company may face a one-day trading suspension; if accumulated penalty points reach more than 15, it could become subject to substantive review of its listing eligibility.

Three Thousand Miles Pharmaceuticals is one of the stocks with the most volatile prices this year. Driven by expectations for oral insulin development and GLP-1 generic drugs, its stock price surged from 244.5k won on January 2 to 1.23M won during trading on March 30. The company announced it had submitted a Phase 1/2 clinical trial plan for oral insulin to the European Medicines Agency (EMA), which also fueled the stock price increase.

However, subsequent issues such as suspicions of block trades by major shareholders and patent disputes related to S-PASS drug delivery technology have continued to cause adjustments. The company rebutted on March 7, stating that the ownership of the S-PASS technology belongs to it.

The market tends to attribute this decline to the renewed risk of disclosure issues rather than a simple short-term correction. Some observers believe that, given the high expectations formed during the previous surge, stock price volatility may continue until the exchange makes a formal judgment.