PangSky in 'Delisting Crisis', the Result of Two Consecutive Years of Disclaimer of Audit Opinion and New Game Failure

Game portal operator and publishing company PangSky Co., Ltd. is on the brink of being delisted from the KONEX market. On June 2, 2026, the Korea Exchange held the KONEX Market Listing Disclosure Committee and decided to delist PangSky's shares. Although the company filed for an injunction to suspend the effect with the court, halting the immediate administrative trading, behind this lies the slump in its core game business.

Two Consecutive Years of 'Disclaimer of Audit Opinion', Held Back by Going Concern Uncertainties

The direct cause of the delisting is the external auditor's 'disclaimer of audit opinion'. The Korea Exchange concluded to delist the company after deliberating on whether PangSky implemented its improvement plan following the non-compliant audit opinion for the 2024 business year, merged with the reasons for the non-compliant audit opinion for the 2025 business year.

In fact, following a disclaimer of opinion from Daeju Accounting Corporation in the previous term (2024), PangSky also received a disclaimer of opinion from its current term (2025) external auditor, Samil PricewaterhouseCoopers. Samil PwC pointed out that although PangSky's current liabilities exceeded its current assets by approximately 10.6 billion won as of the end of 2025, the management did not perform an assessment on the going concern assumption, leading to a failure to obtain sufficient audit evidence regarding the validity of the going concern assumption.

In addition, it stated the reason for the disclaimer of opinion was that there were significant constraints on the audit procedures as it was not provided with suitable audit evidence necessary for evaluating the existence and valuation of accounts receivable, which are core assets, as well as the valuation of convertible bonds and derivative liabilities. To make matters worse, the review of the operational status of the internal accounting control system also received a disclaimer of opinion for both 2024 and 2025, revealing serious loopholes in internal controls.

Commercial Failure of the Ambitious 'One Punch Man' and the Swamp of a Vicious Cycle

Underlying the deterioration of the financial structure and the accounting risks is the crushing defeat in the core game business division. PangSky suffered a massive blow to the entire company as 'One Punch Man', which gathered expectations as a blockbuster game, failed commercially. Even the subsequently released 'Reverse Samguk' and 'Mungmung Samguk' saw sales plummet as the company could not execute proper advertising due to a lack of funds.

The deepening financial crisis led to delays in the service of new games, which again acted as a vicious cycle causing further deterioration in performance. To overcome the crisis, the company attempted to enter new businesses such as blockchain-based games and software, and crypto asset-related businesses, but ultimately had to conclude they lacked business viability and withdraw them by removing the related business objectives.

Insufficient Despite Self-Rescue Measures Like Workout… Survival Depends on Court's Judgment

Pushed to the edge of a cliff, PangSky sought survival by proceeding with its own workout starting in November 2024. Through consultations with creditors, it made desperate efforts such as converting 1.5 billion won of debt into equity, and implementing payment moratoriums for the remaining debt by extending the repayment period or paying in installments over up to eight years. However, despite these efforts to improve its financial structure, it could not overcome the wall of consecutive disclaimers of audit opinion.

Currently, to prevent the delisting decision, PangSky filed an 'injunction to suspend the effect of the delisting decision' with the Seoul Southern District Court on June 4, 2026. Consequently, as of June 5, trading of PangSky's shares was completely suspended, and the scheduled administrative trading procedure was also put on hold until the court's decision is made. Whether PangSky can maintain its status as a listed company is expected to be finally determined based on whether the court grants the injunction in the future.