Suseong Webtoon Transfers Majority Stake Exceeding 50% Ownership

Suseong Webtoon’s largest shareholder, Toomics Holdings, announced on the 15th that it has converted the entire remaining balance of 5 billion KRW in the 21st series convertible bonds (CB) it held into common stock. The conversion of convertible bonds into common stock is expected to improve the financial structure by increasing equity and reducing liabilities. The largest shareholder’s stake will rise from the existing 47.7% of common stock to 50.5%.

Toomics Holdings received the 21st series convertible bonds during the process of acquiring shares in Toomics. On the 31st of last month, Suseong Webtoon converted 10 billion KRW worth of bonds into common stock and has now converted the entire 15 billion KRW held by the largest shareholder into common stock, demonstrating its commitment to responsible management promised to shareholders.

Yu Young-hak, CEO of Suseong Webtoon, stated, "The fact that the largest shareholder converted all convertible bonds into stock shows confidence in management performance," and added, "Through the CB to common stock conversion, we will enhance shareholder value, stabilize investment sentiment, and continue responsible management."

Suseong Webtoon is undertaking various measures to establish a solid scale with annual sales in the 100 billion KRW range and an operating profit margin exceeding 20%. First, it plans to carry out a stock consolidation in December, changing the par value per share from 500 KRW to 5,000 KRW. Additionally, it plans to repurchase and retire CBs. By securing more than 70% of Toomics shares, it will reflect consolidated results and strengthen performance improvement and management control.

Suseong Webtoon owns subsidiaries including the webtoon-specialized platform Toomics and semiconductor inspection equipment company Future Hightech. Toomics has established a ‘subscription service,’ securing 60 million global members and showing stable sales. According to Suseong Webtoon, Toomics’ monthly operating profit has increased in the second half of this year, surpassing the highest level of 1.2 billion KRW per month. Future Hightech recently secured an initial order for HBM inspection equipment from SK Hynix. Having achieved cumulative sales of 10 billion KRW in the third quarter, performance improvement is expected, and an initial public offering (IPO) possibility is also open.

A company official said, "With the global demand for K-webtoons and the HBM inspection equipment orders, Suseong Webtoon’s performance this year will be the largest since its founding."