[Market Focus] Youtubio of 'Socar's Lee Jaewoong' Hits Upper Limit on Daewoong Investment

Youtubio hit the upper price limit early in trading on January 13. The surge in buying appears to be driven by investment from Daewoong Pharmaceutical.

As of 9:49 a.m. on the same day, Youtubio shares were trading at 5,490 won on the KOSDAQ market, up 29.94% from the previous trading day. The stock opened at 4,545 won and quickly expanded its gains, reaching the upper limit.

The previous day, Youtubio announced that it had decided to raise approximately 12 billion won through a third-party allotment capital increase to acquire securities of another corporation. The designated third-party is Daewoong, which will receive 2,388,278 shares. On the same day, Daewoong Pharmaceutical also announced that it would dispose of 564,745 treasury shares held for strategic investment purposes by contributing them in kind to Youtubio. The disposal price is set at 21,500 won per share, with the total planned disposal amounting to approximately 12.1 billion won. Once the share swap is completed, Youtubio will hold a 0.97% stake in Daewoong, while Daewoong will own a 14.99% stake in Youtubio.

The equity swap between Daewoong Pharmaceutical and Youtubio is seen as a move by Daewoong Pharmaceutical to accelerate its investment in the digital healthcare business. Previously, Daewoong Pharmaceutical had presented its vision to become a global healthcare company this year. Youtubio is a KOSDAQ-listed company in Korea, specializing in in vitro diagnostic testing services and medical IT solutions. Its largest shareholder is Lee Jaewoong, former CEO of Socar.