OSung Advanced Materials is investing approximately KRW 42.5 billion in a Chinese specialty electronics manufacturer, officially expanding its global business footprint.

According to OSung Advanced Materials on the 18th, the company decided to acquire KRW 42.5182 billion worth of investment securities by participating in a third-party allotment capital increase of 'Hangzhou Xingshuo New Material Technology Co., Ltd.,' a specialty electronics manufacturer located in Hangzhou, Zhejiang Province, China. This amount equals 13.56% of OSung Advanced Materials' equity capital (KRW 313.52385 billion), and upon completion of the acquisition, the company's stake will reach 25.7%.

Regarding the purpose of this investment, the company stated that it aims to 'expand its global business footprint through investment in a joint venture in China.' The scheduled acquisition date is June 18, 2026, and may change depending on the future capital increase payment schedule.

The investment target, Hangzhou Xingshuo New Material Technology, holds a capital of RMB 550 million as of the disclosure date. Converted at the previous day's Seoul foreign exchange reference rate (KRW 223.78/RMB), this amounts to approximately KRW 123.079 billion.

Meanwhile, OSung Advanced Materials stated that this transaction does not constitute a backdoor listing. The company also added that since the issuing entity is a limited liability company under Chinese law and does not issue shares, the specific number of shares acquired was not disclosed.