Ssangbangwool Secures 65 Billion Won Funding... "Ammunition for Mask Business"

[Asia Economy Reporter Yujin Cho] Ssangbangwool (CEO Kim Seho) announced on the 11th through its board of directors that it has decided to conduct a paid-in capital increase worth 65.7 billion KRW.

Of the funds raised through the capital increase, 32.5 billion KRW will be used for facilities and operating expenses such as mask production equipment investment, and 32 billion KRW will be allocated for debt repayment and other purposes.

Recently, Ssangbangwool, along with Ssangbangwool group companies including Namyoung Vivian, Nanos, and Mirae Industry, has established a roadmap for the mask business.

To this end, on the 2nd, Ssangbangwool and Namyoung Vivian signed a business agreement with Iksan City aimed at the development and promotion of the convergence textile industry, agreeing to establish and operate a mask research institute as well as to respond to changes in future textile industry technology trends and discover new business models.

The Ssangbangwool group plans to invest approximately 30 billion KRW in the Iksan City National Industrial Complex, creating about 150 jobs.

A Ssangbangwool official stated, "Due to concerns over the resurgence of the novel coronavirus infection (COVID-19), uncertainties are increasing, such as the sharp decline in the New York stock market. In this situation, the group is making its best efforts to actively respond to the mask business."

Regarding the capital increase, the official added, "It is to secure funds for the full-scale launch of the mask business," and "We also expect an improvement in the financial structure through debt repayment of 32 billion KRW."

Meanwhile, Namyoung Vivian, which is leading the mask business alongside Ssangbangwool within the Ssangbangwool group, is actively expanding its mask business area by continuously pursuing supply contracts. Last month, Namyoung Vivian signed a mask supply contract worth 20.4 billion KRW with Medytox Korea.

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