Almec Subsidiary AR Aluminum Completes Second Capital Increase Payment of KRW 10.4 Billion

AR Aluminum, a subsidiary of global electric vehicle parts specialist Almec (CEO Shin Sangho), announced on July 18 that it has completed the payment for its second capital increase, totaling $7.5 million (approximately KRW 10.4 billion).

This capital increase by AR Aluminum was a rights offering, with participation limited to existing shareholders, among whom only a U.S.-based global electric vehicle manufacturer took part.

Since its establishment in 2022, AR Aluminum received an initial investment of $5 million from the U.S. electric vehicle manufacturer. The company expects this second investment to serve as a turning point, strengthening AR Aluminum’s capital base and solidifying its partnership for continued growth.

In particular, the $7.5 million raised through this capital increase is analyzed to value AR Aluminum at KRW 268 billion based on equity ratio calculations.

The company plans to use the funds secured through this investment to build an aluminum recycling process starting in the third quarter. By implementing a system that recycles aluminum scrap, AR Aluminum aims to achieve additional cost competitiveness and apply eco-friendly processes that can help overcome regulations such as carbon border taxes, potentially allowing for a price premium. As a result, this investment is expected to play a crucial role in further strengthening the company’s vertical integration system.

Meanwhile, Almec has been expanding its cooperation with global automobile manufacturers by supplying electric vehicle parts to major overseas markets such as North America and Europe. Recently, Almec further solidified its position in the North American market by signing a KRW 190 billion parts supply contract with a global automaker operating in the United States.

A company representative stated, "Despite unstable economic conditions such as U.S. tariff policies, we have secured $7.5 million in funding from our U.S.-based global automotive partner. This will serve as an important foundation for sustained growth in the global electric vehicle parts market." The representative added, "We plan to continue meeting the demands of more global customers and pursue ongoing business growth through expanded research and development and production."

Almec is focusing on the development of lightweight and eco-friendly technologies for electric vehicle parts and is continuously pursuing growth in the global electric vehicle market.