Uridul Hubrain, First Paid-in Capital Increase Issue Price 1,315 Won... "Strengthening Financial Soundness and Medical Business through Fundraising"

[Asia Economy Reporter Hyunseok Yoo] Wooridle Hubrain announced on the 4th that it has set the initial issuance price per common share for the rights offering at 1,315 KRW.

Based on the initial price, Wooridle Hubrain's public offering size has been adjusted from 46 billion KRW to 35.7 billion KRW. This price is based on the new share allocation record date (June 8). The final issuance price will be confirmed on July 6. It will be finalized at the lower price between the initial issuance price and the secondary issuance price, which will be determined based on the old shareholders' subscription dates (July 8-9).

In March, Wooridle Hubrain announced a rights offering plan to issue 27.14 million shares at a subscription price of 1,695 KRW per share, totaling approximately 46 billion KRW. The raised funds are expected to be mostly used to secure financial soundness by reducing the company's debt ratio and to support operations focused on pharmaceutical and quasi-drug businesses.

Additionally, through the implant (knee, spine artificial joints) and medical consumables distribution company acquired in March, the company plans to expand its hospital MRO (Maintenance Repair and Operating) business. It also aims to lay the foundation for mid- to long-term business by entering the MSO (Management Services Organization: hospital management consulting) market through hospital insurance review and the introduction of medical ERP systems.

To increase focus on the medical business, the company sold its subsidiary 'Greenbell Systems,' which primarily generated revenue from the computer storage business, earlier this year. This reflects a strong commitment to concentrate on qualitative growth of its core business and to leap forward as a comprehensive medical-centered company.

A company official stated, "Once Wooridle Hubrain successfully completes the rights offering, it will not pursue separate external borrowings," and added, "The capital raised will not only support growth in the pharmaceutical and quasi-drug business scale but also enhance the financial structure."

This rights offering, conducted as a general public offering for forfeited shares after shareholder allocation, will issue 27,138,644 new common shares, with the new shares expected to be listed on the stock exchange on the 29th of next month.