South Korean general trading company STX Corp. has said its largest shareholder is a local investment firm, while refuting the false reports appearing through the stock market.

“Investors are advised to exercise caution due to the recent fake news that STX’s biggest shareholder is a Chinese fund,” the trading company stated on Thursday.

The company’s top shareholder is Seoul-based investment manager APC Mercury Co., holding a 46.1% stake as of the end of August. The private equity firm is not backed by a Chinese fund, and STX’s critical decision-making processes are not involved with any Chinese investors, the trading firm added.

The trading firm said that Korea’s financial authorities have confirmed that no Chinese capital was involved with the deal, which was closed in 2018.

STX stated it will take a firm stance against fake news that disrupts the market. As it is in a critical time for its second leap forward, the company will address any further speculation to prevent false news from spreading, it added.

STX Green Logis Ltd. a shipping affiliate, was spun off from the trading firm on Sept. 1 and was relisted on the main bourse Kospi on Friday. The stock soared 29.9% to hit its daily limit of 32,600 won in morning trading.

Source: The Korea Economic Daily