BID, Major Shareholder Invests 8 Billion Won "Financial Structure Improvement... Expectations for Renewable Energy and Bio Business"

[Asia Economy Reporter Hyunseok Yoo] Vidia announced on the 24th that Chairman An Seungman, the largest shareholder, has completed the payment of 8 billion KRW for a paid-in capital increase. Along with this largest shareholder investment, Vidia expects a significant improvement in its financial structure through the recent exercise of rights for the 8th convertible bonds (CB) and the 9th bonds with warrants (BW).

In October of last year, Vidia decided on a third-party allotment paid-in capital increase targeting Chairman An Seungman, the largest shareholder, to achieve the company's management objectives and promptly raise necessary funds. The number of shares issued in the capital increase is 5,789,849, with a new share issuance price of 1,399 KRW. The listing date is scheduled for the 7th of next month, and all shares issued through this capital increase will be subject to a one-year lock-up period.

Vidia plans to use the largest shareholder’s investment funds to repay debts and improve the company’s financial structure. Previously, Vidia expanded its capital by a total of 18.6 billion KRW through the exercise of rights for the 8th CB worth 7 billion KRW and the 9th BW worth 11.6 billion KRW, which is expected to have a positive effect on financial structure improvement. Through this financial restructuring, Vidia plans to focus on its newly promoted renewable energy and bio businesses.

A Vidia representative said, “We hope that this private investment by the largest shareholder will serve as an opportunity for the company to overcome management difficulties and accelerate new renewable energy and bio businesses, enabling a step forward,” adding, “The company will also do its best to improve its financial structure independently through additional cost reductions and other measures.”

He continued, “This year, we plan to concentrate the company’s capabilities to achieve visible results in the renewable energy sector, which we have been diligently developing for a long time,” and added, “Along with this, we are preparing various measures to quickly realize profits in the bio business as well.”

In the renewable energy sector, Vidia has achieved a total order performance of 1.43 trillion KRW to date. In the bio business sector, Vidia’s U.S. subsidiary, ‘Ellison Pharmaceuticals,’ is smoothly progressing with the development of the pancreatic cancer treatment ‘Glufosfamide’ in U.S. Phase 3 clinical trials, as well as lung cancer treatment ‘ILC’ and brain cancer treatment ‘DBD.’