Newintec, a specialist company in film capacitors, has successfully raised a total of 26.1 billion KRW in funding.
Newintec announced on the 10th that it recorded a subscription rate of 99.75% in the paid-in capital increase subscription for existing shareholders held from the 8th to the 9th. The unsubscribed shares will be immediately acquired by the lead underwriter (KB Securities) without a public offering process.
Newintec plans to use the funds secured through this paid-in capital increase to expand the production line for eco-friendly vehicle capacitors at its Gunsan plant and to repay convertible bonds.
According to the company, a dedicated line will be established at the Gunsan plant to respond to Hyundai Motor and Kia’s next-generation electric vehicle platforms, Es/Em. In addition, expansion is planned to proactively respond to the recently secured supply volume for the new customer ZF.
With the expansion of automated production facilities at the Gunsan plant, the plant’s annual production capacity (CAPA) is expected to increase from the current level of 450,000 units per year to approximately 1.8 million units per year. Furthermore, the introduction of the automated line is expected to reduce labor costs and improve productivity.
Additionally, Newintec plans to repay all previously issued convertible bonds with the funds raised this time. This is expected to improve Newintec’s financial soundness by reducing interest expenses.
A Newintec representative said, “Thanks to the shareholders who trusted the company’s growth potential and future value, we were able to successfully complete this paid-in capital increase,” and added, “We will do our best to use the raised funds not only to grow the company’s sales but also to improve profitability in the future.”
Meanwhile, a total of 20.8 million new shares issued through this capital increase are scheduled to be listed on September 1.
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