Airute Expands Stake in Woojin Electric... "Benefiting from Semiconductor and Renewable Energy Activation"

[Asia Economy Reporter Park Hyungsoo] A-Route has expanded its stake in the integrated power platform company 'Woojin Gijeon.' Woojin Gijeon is expected to achieve high growth due to the global semiconductor boom and the government's renewable energy promotion policies, benefiting A-Route.

A-Route announced on the 1st that it additionally acquired 353,325 shares (32.61%) of Woojin Holdings held by BK Tops. Following the acquisition of a 30.07% stake in June, A-Route secured a total of 62.68% of Woojin Holdings shares, becoming the largest shareholder. Woojin Holdings owns 100% of Woojin Gijeon shares.

Founded in 1984, Woojin Gijeon is an integrated power platform company providing solutions in four areas: ▲power quality ▲power systems ▲power equipment ▲renewable energy. It has over 300 clients, including large corporations, in the semiconductor, display, construction, and renewable energy sectors.

In the first half of this year, Woojin Gijeon signed large-scale contracts in power quality solutions and renewable energy solutions, achieving a cumulative order amount of 104.1 billion KRW in the second quarter, a 35% increase compared to the same period last year. The cumulative order amount for the third quarter of this year is expected to exceed 200 billion KRW.

An A-Route official explained, "We decided to expand our stake after comprehensively considering Woojin Gijeon's market competitiveness and growth potential," adding, "Investments in front-end industries such as semiconductors and displays are expanding." He further expressed expectations, saying, "Large-scale infrastructure construction projects following the government's renewable energy promotion policies are being launched in earnest, so Woojin Gijeon is expected to take a step forward."

Additionally, the official stated, "Starting with the power solutions business through Woojin Gijeon, A-Route plans to accelerate the promotion of new businesses to secure future growth engines," adding, "We are reviewing various new businesses, including ongoing bio and renewable energy projects."

In December last year, A-Route participated as a subordinated creditor in a private equity fund that acquired convertible bonds (CB) issued by Woojin Holdings, securing a call option to purchase all of the CBs.