A-Root Fails to Pay Deposit as Preferred Negotiation Partner... "Pursuing Resale of Woojin Gijeon"

A-Route announced on the 27th that it has canceled the sale of Woojin Gijeon with the previous preferred negotiation partner and is pursuing a resale. The reason for the cancellation is non-payment of the contract deposit. A-Route terminated the contract in principle according to the contract terms.

The resale is expected to proceed quickly as there is already high interest from potential buyers. It is anticipated to take about three months from the selection of a new preferred sale negotiator to the completion of the contract. Through due diligence with the previous preferred negotiation partner, Woojin Gijeon's market dominance and growth potential were verified, and since the industry outlook for this year is positive, a swift sale is expected.

In December last year, A-Route signed a main contract with the Hong Kong-based private equity fund (PEF) operator ‘Asia-IO Consortium’ for the sale of Woojin Gijeon. The Asia-IO Consortium is known to have positively evaluated Woojin Gijeon's market dominance, growth potential, and financial structure during the due diligence process.

Woojin Gijeon supplies approximately 30,000 types of power equipment and integrated solutions in four business areas centered on the semiconductor industry: ▲power quality ▲power systems ▲power equipment ▲renewable energy. As a strong company, Woojin Gijeon is expected to see a significant increase in orders this year due to the semiconductor industry's boom, so the company explains that the corporate value will also be positive in the new sale of Woojin Gijeon.

An A-Route official said, “Among the potential buyers wishing to acquire, the institution that expresses the most active intention to acquire will be selected as the preferred negotiation partner,” and added, “It is expected to take a total of three months from selecting the new preferred sale negotiator within two months to closing the deal.”

A-Route holds 62.7% of the shares of Woojin Holdings, the parent company of Woojin Gijeon. The sale target this time is 100% of Woojin Gijeon's shares held by Woojin Holdings, and A-Route plans to use the sale proceeds to secure new growth engines.

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