KOTZ Technology Approves Amendments at Extraordinary Shareholders’ Meeting... Strengthening Foundation for Mid- to Long-Term Growth Strategy Execution

KOTZ Technology, a company specializing in defense industry embedded systems based on single-board computers (SBCs), announced on December 17 that it held an extraordinary general meeting of shareholders and approved amendments to parts of its articles of incorporation as originally proposed. The amendments include adding new business objectives, changing the location of its headquarters, and increasing the issuance limit for exchangeable bonds (EB).

This amendment to the articles of incorporation is intended to institutionally support the company’s ongoing mid- to long-term growth strategies and major investment initiatives. Throughout this year, KOTZ Technology has expanded investments with the goal of strengthening its R&D capabilities and expanding its research and production infrastructure. In July, the company issued exchangeable bonds totaling 15 billion won and signed a contract to purchase a new headquarters building in Gwacheon.

The headquarters location will change from Bundang-gu, Seongnam-si to Gwacheon-si, Gyeonggi-do. The new Gwacheon headquarters will serve as an R&D-focused hub and will also accommodate certain production functions. The existing Bundang office will be maintained as a branch, continuing to operate production facilities and SMT lines, thereby establishing a dual operational system that combines research and development with production.

The company is gradually establishing an integrated operational environment connecting R&D, production, and technology verification, based on its new headquarters at the PentaOne Knowledge Industry Center in Gwacheon. In the mid- to long-term, KOTZ Technology plans to expand its production capacity to approximately 150% of its current level.

Additionally, through this amendment, the company added "real estate leasing" to its business objectives. KOTZ Technology explained that this is a limited measure aimed at securing and operating dormitories and welfare facilities for employees, and is not intended for expanding into unrelated real estate businesses.

The issuance limit for exchangeable bonds has been increased from 15 billion won to 20 billion won. The company clarified that this increase does not mean immediate additional issuance, but is a preemptive measure to secure financial flexibility in preparation for its mid- to long-term growth strategy. The existing exchangeable bonds were issued using treasury shares, so there was no dilution of shares, and the company plans to maintain this approach going forward.

Jo Ji-won, CEO of KOTZ Technology, stated, "This amendment to the articles of incorporation is an institutional foundation to stably continue the investments and growth strategies already underway," adding, "We will continue to strengthen our competitiveness in the global high-reliability industrial market by further advancing our R&D and production capabilities."