Hulum, Leap to Global Healthcare Company Through SPAC Merger Listing

[Asia Economy Reporter Hyunseok Yoo] Comprehensive health functional food company Hurum Co., Ltd. held a press conference in Yeouido on the 1st and presented future growth strategies following the merger listing with NH SPAC No.16.

Jinseok Kim, CEO of Hurum, said, "Hurum is a company equipped with a one-stop solution from research to production and sales of health functional foods through natural product research technology that maximizes the characteristics and efficacy of bio-functional materials and a strict quality control system," adding, "We will grow into a global healthcare specialized company by leveraging our core competitiveness that has led market trends through this SPAC merger listing."

Hurum laid its business foundation with Hustyle Co., Ltd., a yogurt specialty company established in 2005. In 2015, to expand its business, it acquired a research-centered fermentation specialized health food company. Subsequently, in 2017, Hustyle and Hurum merged to grow into a comprehensive health functional food specialized company.

Hurum emphasizes that it has quality control capabilities essential for producing health functional foods, which require hygiene and safety assurance. It is a GMP (Good Manufacturing Practice) and HACCP (Hazard Analysis and Critical Control Points) certified company. It has a full-process monitoring system from raw material receipt to blending, production, and shipment.

Last year, Hurum achieved sales of 76.76 billion KRW and operating profit of 7.44 billion KRW. This represents a 15.1% increase in sales and a 47.0% increase in operating profit compared to the previous year. Major products include 'Cissus Speed Diet,' a diet health functional food made from cissus extract; the 'Trulac' series, a probiotic powder product in enteric coating form; and 'Ipyonan Lutein Zeaxanthin.'

Hurum is preparing future businesses by securing functional bio materials. These include ▲gamtae extract, a sleep health individual recognition material ▲alcohol extract of Crowberry fruit for joint health products ▲pomegranate extract for women's menopausal health products ▲and aster extract for allergy symptom improvement products.

In addition, bio food materials include plant complex extracts with antiviral functions and ▲fermented tangerine fruit extract ▲eleutherococcus extract with excellent liver function improvement effects ▲a complex extract of Achyranthes bidentata for joint health ▲and palm cactus extract that defends against fine dust and benefits the respiratory system. The company holds 34 domestic and international patents related to functional bio materials, and its cumulative sales have exceeded 10 billion KRW since 2017.

Hurum's strategy is to actively target overseas markets such as Southeast Asia, Greater China, Japan, and the Americas, focusing on bio materials and hit products with competitiveness in Korea.

In Southeast Asia, through TV home shopping, Qoo10, Lazada, and Shopee, Hurum plans to strengthen existing partnerships in Malaysia and Singapore while conducting active marketing centered on Brand K selected products. In Greater China, after establishing an online presence through WeChat Market, Wanghong, and Kwajing (direct purchase), offline partnerships will be pursued. The B2B sales network with Taiwanese clients will also be expanded. In Japan, functional materials and products made with domestic technology are being exported, aiming to differentiate products made from domestically sourced natural raw materials.

Going forward, Hurum plans to continuously increase the proportion of growth and high-profit businesses to leap forward as a global bio-specialized company.

Currently, nine functional new material items are being additionally developed. Customized marketing activities will be strengthened, and overseas market entry will be actively promoted beyond Korea. Through this, Hurum has established a strategy to achieve sales of approximately 180 billion KRW by 2025.

Meanwhile, funds raised through the merger will be used for new facility investments such as factory and warehouse construction, capsule fillers, freeze dryers, replacement of existing equipment at the Ochang factory, and hiring new personnel.

The shareholders' meeting to approve the merger of the two companies is scheduled for the 10th, and the merger date is July 13. The total number of issued shares after the merger will be 31,642,536 shares. The listing date of the new shares from the merger is scheduled for July 27.

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