Cellumed Completes Capital Increase Payment... Prioritizes Litigation Debt Repayment and Expands Bio Synergies

Cellumed, a company specializing in bio-medical devices, announced on January 21 that it has completed the final payment for a 17 billion won third-party allotment capital increase, according to a disclosure made the previous day. With this capital injection, the company plans to prioritize resolving its financial risks and to embark on a full-scale normalization of management by expanding synergies in its bio business.

Through this influx of funds, Cellumed expects to substantially reduce the financial risks that have weighed on the company and to further enhance its sustainability. The company intends to use the raised capital primarily to repay debts related to ongoing litigation, while also utilizing it as operating funds to improve its business environment and solidify the foundation for advancing its core businesses.

In particular, Cellumed will now accelerate its strategy to expand tangible synergies in the bio-medical device business, based on a stable financial foundation. The company aims to enhance the structural stability of its revenue growth through systematic management of financial risks, stabilization of internal organization, restructuring of its business portfolio with a focus on profitability, streamlining production and supply of its main product lines, and expanding distribution and partnerships. Through these efforts, Cellumed aims not only to achieve short-term performance improvements but also to establish a virtuous cycle in which its financial strength and business competitiveness are reinforced over the medium to long term.

The new largest shareholder, TD Landmark Fund No. 1, stated, "Through active participation in management, we will aggressively pursue new bio businesses that can generate synergies with existing operations and establish a sustainable profit model," adding, "We have worked closely with the current management team for an extended period in preparation for this capital increase and acquisition of management rights."

A Cellumed representative said, "With this capital injection, we have laid the groundwork to resolve financial risks as a priority and focus on our core business," adding, "We will expand synergies in our key bio business and respond to the market's trust with tangible results."