An electronic trading board shows the benchmark KOSPI closing at 2,623.29 points, up 1.02 percent, or 26.38 points from the previous session, at a Hana Bank dealing room in Seoul, Monday. Yonhap

The value of shares canceled by listed companies in Korea more than doubled from last year, as the government is stepping up efforts to enhance shareholder return, data showed Monday.

According to the Financial Supervisory Service's electronic disclosure system, these companies reported 76 cases of cancellation of shares worth 9.32 trillion won ($6.87 billion) so far this year.

The amount was more than twice as large as 4.49 trillion won posted in 2023.

The year-on-year increase in such amount was also the steepest this year.

The amount grew at a moderate pace previously on the benchmark KOSPI, from 872.5 billion won in 2019 to 1.98 trillion won in 2020, 2.43 trillion won in 2021 and 2.91 trillion won in 2022.

On the secondary bourse Kosdaq, it grew from 75.6 billion won in 2020 to 109.6 billion won in 2021 and 224.4 billion won in 2022.

"It appears the listed companies are trying to cope with the government's Corporate Value-up Program," Jung Eui-jung, head of the Korean Stockholders' Alliance, said.

He referred to the program introduced in February, in a bid to boost undervalued Korean stocks.

The program is aimed at drawing out voluntary participation of the listed companies to bolster dividend payout and other efforts to strengthen shareholder return.

Jung anticipated more share cancellations, pointing out that leading companies in their respective industries are participating in the government-led campaign and that smaller peers are likely to join as well.

For instance, KB Financial Group, the country's No. 1 banking group, canceled 1.05 trillion won worth of shares.

The second-placed Shinhan Financial Group canceled 600 billion worth of shares. Two smaller rivals – Hana and Woori — canceled shares worth 300 billion won and 260 billion won, respectively.