Robotis Doubles Rights Offering Size from 100 Billion to 210 Billion Won Amid Stock Surge

Subscription Applications for Existing Shareholders on November 7 and 10
Largest Shareholder Sells Subscription Rights to Raise Funds for New Shares
Strengthening Robot Competitiveness with Ample Investment Capital

Robotis, a robot development company currently pursuing a paid-in capital increase, will be accepting subscription applications from existing shareholders. As interest in humanoid robots grows in the domestic stock market, expectations are rising that the subscription rate will be high. If Robotis successfully raises funds, it will proceed with full-scale expansion investments.

According to the Financial Supervisory Service's electronic disclosure system on November 7, Robotis has set the new share issue price at 155,500 won. When the board of directors resolved the paid-in capital increase proposal on August 28, the expected issue price was 74,100 won. Over the past two months, the stock price surged, leading to a 109.9% increase in the issue price. The fundraising amount also grew from the initially planned 100 billion won to 209.9 billion won.

Robotis also revised its capital allocation plan. It will maintain the facility investment at 60 billion won, but has increased the operating budget from the previous 40 billion won to 149.9 billion won, an increase of over 100 billion won. The funds will be used for 25.2 billion won in research and development for quasi-direct drive (QDD) actuators, 25.5 billion won for in-house production of new motors, 6 billion won for data factory operations, and 10 billion won for processing operations. An additional 83.2 billion won has been allocated for other operating expenses.

As shares related to humanoid robots have soared in the domestic stock market, Robotis's stock price has risen by more than 200% in the second half of this year alone. With the capital increase taking place during this surge, the size of the offering has also expanded. The closing price on the previous day was 216,000 won, which is 38.9% higher than the new share issue price. Subscription for existing shareholders will be held over two days, November 7 and 10.

Kim Byungsoo, the largest shareholder and CEO, plans to subscribe to 25% of the new shares allocated to him. Of the 13.6 billion won needed for the new share acquisition, part was raised by selling some of his subscription rights. On October 22, Kim sold 75% of his subscription rights for 12.5 billion won. After the paid-in capital increase is completed, Kim's ownership stake will decrease from 25.93% to 24.11%.

Robotis has planned this fundraising with the goal of establishing its data factory as a key growth axis and securing competitiveness in the physical artificial intelligence (AI)-based dual-arm and humanoid robot sectors. Humanoid robots require vast amounts of data due to the need to learn various environments and tasks. The company explained that building a data factory is directly linked to Robotis's competitiveness.

The lack of sufficient production facilities for key components such as motors and link frames to be used in humanoid robots also influenced the decision to raise funds. Robotis decided on strategic facility investments to secure a stable supply system and price competitiveness.

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