[Public Notice+] CoAsia Issues 11 Billion KRW Convertible Bonds... "Accelerating System Semiconductor Foundry Business"

[Asia Economy Reporter Hyunseok Yoo] CoAsia announced on the 8th that it has decided to issue exchangeable bonds (EB) worth 11 billion KRW targeting its treasury shares to expand its system semiconductor foundry business. The exchange price is 8,412 KRW per share, and the exchange request period is from May 12, 2021, to April 12, 2023.

The funds raised this time will be used for expanding overseas sales networks and recruiting domestic and international specialized engineers for the foundry business. The company explained that it raised funds using existing shares to prevent dilution of existing shareholders' equity and to increase liquidity.

CoAsia was registered as a SAFE DSP (Design Solution Partner) of Samsung Electronics' foundry division on the 7th of last month. Utilizing its in-house system-on-chip (SoC) design capabilities, 7-nanometer (nm) process design experience, and Samsung's advanced processes, the company plans to expand new design applications such as AI (artificial intelligence) and participate in semiconductor design for various global major customers.

The government announced in December last year, through the ‘AI National Strategy,’ a 10-year development plan for AI semiconductors, pledging a total support of 1.0096 trillion KRW by 2029. The goal is to develop core technologies such as AI semiconductor design, devices, equipment, and processes, and to secure the top position in the AI field. Samsung Electronics also declared through its ‘Semiconductor Vision 2030’ in April last year that it will invest 133 trillion KRW in the system semiconductor sector by 2030 to leap to the global number one position.

A company official stated, "As the industry and government emphasize strengthening system semiconductor capabilities, explosive growth in this field is expected. Excellent institutional investors also highly evaluated the future value of our foundry business and participated in this fundraising with stock exchange conditions set for one year later rather than short-term."

He added, "In the era of the Fourth Industrial Revolution, the system semiconductor market for AI, IoT (Internet of Things), and others will grow even more steeply. Through the launch of a local subsidiary in Silicon Valley, USA, scheduled for next month, recruitment of domestic and international engineers, and aggressive sales activities, we will be responsible for semiconductor design for global top-tier customers."

This content was produced with the assistance of AI translation services.