EVE Advanced Materials Strengthens Electric Vehicle Business Capabilities with 31.3 Billion KRW Cash Secured

[Asia Economy Reporter Jang Hyowon] EV Advanced Materials, a company specializing in the production of FPCB for electric vehicle batteries, announced on the 23rd that it has signed a new contract to transfer some of its shares in Y2 Solution (formerly Yuyang D&U) to Deokwoo Electronics and multiple other transferees to strengthen its electric vehicle business capabilities and secure financial stability.

Under this contract, out of the 59 million shares held, 40 million shares were transferred to Deokwoo Electronics for 23.6 billion KRW, and 13 million shares were transferred to multiple transferees other than Deokwoo Electronics for approximately 7.7 billion KRW, securing a total cash liquidity of about 31.3 billion KRW. It is reported that the company realized a capital gain of about 5 billion KRW approximately six months after acquiring the shares.

With the secured funds, the company plans to expand financial stability and cash liquidity, establish strategies to leap forward as a specialized electric vehicle battery development company, and strengthen the capabilities of its existing businesses.

Deokwoo Electronics is an electronic component manufacturing company possessing core source technologies in mobile and vehicle parts. It supplies iPhone camera module components to its main client LG Innotek, emerging as a beneficiary of Apple, with sales of approximately 68.7 billion KRW and a market capitalization of 133.3 billion KRW in the first half of this year.

A representative of EV Advanced Materials stated, “With the funds secured through this transfer contract, we can ensure financial stability and cash liquidity, securing cash resources necessary for the electric vehicle business and LED business that the company has been engaged in, as well as new businesses such as automobiles, drones, robots, and autonomous driving currently being promoted. This is a strategic choice to focus on nurturing the company’s core businesses for future growth.”

He added, “The company recently invested in Taiwan’s Prologium Technology, the world’s first all-solid-state battery specialist, securing a key driving force in the electric vehicle market, and will continue efforts to strengthen the electric vehicle business and the electric vehicle battery production plant in Vietnam.”

Meanwhile, according to a recent report released by the global market research firm IDTechEx, the all-solid-state battery market is expected to grow to over 6 billion USD (approximately 7 trillion KRW) by 2030.

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