5 Subsidiaries Receive 500 Billion KRW Financial Support from DGB Daegu Bank

Five EcoPro affiliates, including EcoPro Materials, secured stable investment funds by signing a financial support agreement worth 500 billion KRW with DGB Daegu Bank.

EcoPro Materials, the only domestic company mass-producing precursors, a core material for secondary batteries, announced on the 12th that it signed a "Financial Support Agreement (MOU) for Strengthening Competitiveness of Secondary Battery Core Materials and Establishing ESG (Environmental, Social, and Governance) Management Foundation" with DGB Daegu Bank at the bank's headquarters in Suseong-gu, Daegu on the 10th.

The MOU involved five affiliates at the Pohang campus: EcoPro Materials, EcoPro EM, EcoPro CNG, EcoPro Innovation, and EcoPro AP. Through this agreement, the EcoPro affiliates can negotiate loan amounts and interest rates with DGB Daegu Bank within the scope of 500 billion KRW.

EcoPro Materials, aiming to increase precursor self-sufficiency currently dominated by China and build infrastructure for the K-battery industry, is preparing for its listing on the 17th. This agreement is expected to accelerate efforts to increase precursor self-sufficiency, as it has secured funds through a paid-in capital increase during the listing process and established a borrowing program with financial institutions if necessary.

Kim Byung-hoon, CEO of EcoPro Materials (right), and Hwang Byung-woo, President of DGB Daegu Bank, signed a financial support agreement (MOU) for "Strengthening Competitiveness in Secondary Battery Core Materials and Establishing an ESG Management Foundation" on the 10th at the DGB Daegu Bank headquarters in Suseong-dong, Daegu.
[Photo by EcoPro Materials]

Kim Byung-hoon, CEO of EcoPro Materials, said, "In line with the growth of the global electric vehicle market, the family companies located at the Pohang campus can now secure stable investment funds for facility investments and raw material purchases to expand secondary battery material production capacity. We hope to strengthen our competitiveness in the global market as a leading company in secondary battery core materials and grow together with DGB Daegu Bank."

Hwang Byung-woo, President of DGB Daegu Bank, stated, "We will play a solid supporting role by providing generous financial support so that companies located at the region-based Eco Battery Pohang campus can establish the highest status as K-battery material companies in the global market. We also look forward to mutual development through establishing an ESG management foundation and close cooperation in various fields."

EcoPro Materials recently conducted a demand forecast targeting domestic and international institutional investors, setting the public offering price at 36,200 KRW, with a public offering amount of 419.2 billion KRW and a market capitalization at listing of 2.4698 trillion KRW.

Starting with the first precursor plant in 2018, EcoPro Materials completed the first raw material plant in 2021, the second precursor plant in 2022, and the second raw material plant in 2023. Based on the raised funds, the company plans to build additional third and fourth precursor and raw material plants on approximately 120,000㎡ of land within the Yeongilman Industrial Complex.

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