Laser Cell to Conduct Rights Offering to Improve Financial Stability

Raising 9.3 Billion Won Through Rights Offering to Shareholders
New Shares to Be Issued at 2,155 Won; Current Price at 2,415 Won
8 Billion Won of Raised Funds Allocated for Debt Repayment

Laser Cell, a developer of surface laser bonding equipment, is seeking to raise funds to secure repayment for the convertible bonds (CB) it issued last year. The company plans to issue new shares through a rights offering to existing shareholders.

According to the Financial Supervisory Service's electronic disclosure system on October 22, Laser Cell will conduct a paid-in capital increase by allocating 0.493 new shares for each existing share. The planned issue price for the new shares is 2,155 KRW, with a total of 4.3 million shares to be issued. The final offering price will be determined on November 27.

The company aims to raise 9.3 billion KRW, of which 8 billion KRW will be used for debt repayment. The remainder will be allocated as operating funds. The underwriter, Hanyang Securities, will acquire any unsubscribed shares remaining after the general public offering.

Laser Cell has developed surface laser technology and supplies equipment to key clients. Leveraging its proprietary laser reflow technology, the company has secured technological competitiveness. Previously, in early 2024, Laser Cell raised 8 billion KRW by issuing its second round of convertible bonds. The funds raised were used for acquiring securities of other companies and for facility investments. The conversion price at the time of issuance was 9,707 KRW, but it was adjusted to 6,795 KRW to reflect a decline in the stock price. As a result, the number of shares eligible for conversion increased from 820,000 to 1.18 million shares.

Although the conversion price was lowered, it still remains higher than the current price of 2,415 KRW. The board of directors has determined that CB holders are likely to request early redemption and has resolved to conduct a rights offering to secure the necessary funds. Early redemption requests can be made starting January 25, 2026.

Laser Cell was newly listed on the KOSDAQ market in June 2022. Its actual performance over the past three years has significantly deviated from the projections presented at the time of listing. The company had estimated sales of 19.3 billion KRW for 2022, 36 billion KRW for 2023, and 78.3 billion KRW for 2024. However, Laser Cell’s actual sales were only 6 billion KRW in 2022, 6 billion KRW in 2023, and 4 billion KRW in 2024.

Laser Cell explained that there is a gap between the projected profit and loss by key product category presented at the time of listing and its actual business performance, and that future results may also fall short of plans. Although it remains uncertain whether the company will be able to raise funds as planned, the board appears to believe that a rights offering to existing shareholders is the most suitable among various financing options.

The company also stated that it had considered a third-party private placement, but determined that this would be insufficient to address financial stability and liquidity risks.

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