Sejong Medical, founded in 1996 and once South Korea's leading domestic provider of localized laparoscopic surgical instruments, is being delisted from KOSDAQ after transactions drained its reserves. An unidentified investment group operating through three partnerships, including MOB Consortium, directed 11.3 billion Korean won into Genencell, a COVID-19 treatment developer, and funds sold their Sejong Medical holdings within two days of the Ministry of Food and Drug Safety approving Genencell's clinical-trial plan, earning approximately 18 billion Korean won as Sejong Medical's stock halved within five trading days. Genencell founder Professor Kang, who was sentenced in late 2024 to three years in prison suspended for five years for violating the Capital Markets Act, breach of trust and patent law, is awaiting an appellate ruling and was separately indicted with broker Yang over alleged attempts to bribe political figures. In 2022, Canaria Bio M obtained control through a no-capital M&A structure, after which Sejong Medical bought 50 billion Korean won of Canaria Bio shares and received 80 billion Korean won in convertible bonds in exchange for Canaria Bio securities. Sejong Medical later recorded losses of 40 billion Korean won on the shares, 11.3 billion Korean won on Genencell and 66.2 billion Korean won on the bonds. Its stock fell to 325 Korean won on March 28, 2024, trading was suspended the next day, and the Korea Exchange decided to delist the company on June 11, leaving 30,837 small shareholders with losses of 95% from the peak.