HiSonic Loads 12 Billion Won Ammunition... Accelerates Business Expansion in Secondary Batteries and More

HiSonic announced on the 29th that it will accelerate the expansion of its business areas, including secondary batteries.

HiSonic plans to focus on improving performance through global business investment expansion in secondary batteries and IRCF (Infrared Cut Filter). To this end, the company previously disclosed that it would issue convertible bonds (CB) worth a total of 12 billion KRW on the 14th and 23rd.

Recently, HiSonic completed the establishment of a local corporation in Atlanta, Georgia, USA. At the same time, to secure profitability, it plans to enter not only the secondary battery can-cap assembly parts business but also the automotive parts-related business. Having secured a major base for expanding the secondary battery business in the US, the company is preparing to build production infrastructure as the next step.

Additionally, to strengthen the profitability of the IRCF business, which secured large-scale orders earlier this month, HiSonic plans to focus on expanding application areas such as security and automotive. With new smartphone models scheduled for release in the second half of the year, both market demand-driven external growth and profitability improvement are expected.

HiSonic underwent intensive restructuring last year. It discontinued the existing VCM AF business and is concentrating on the highly profitable smartphone IRCF (infrared filter) business. Since asset impairment disposals and bad debt allowances from downsizing the VCM AF business were reflected in last year’s performance, it is expected that financial soundness can be secured this year.

A company official explained, “Based on the secured funds, we plan to expand our business areas this year from secondary battery parts to automotive parts-related businesses, and also increase the applied industrial sectors from electric vehicles to ESS secondary batteries. Through this, we expect to achieve visible results in the secondary battery business, which is being promoted as a new growth engine.”

He added, “The existing IRCF business is a highly profitable area based on stable smartphone-related orders, and we plan to expand its application areas. If new business results are added to the existing business, significant performance growth is expected this year.”