Geumyang, whose shares are suspended from trading, is pushing ahead with a physical spin-off to enter the artificial intelligence (AI) data center business. Geumyang notified shareholders that electronic voting on the agenda of an extraordinary general shareholders' meeting will run from October 8 to 18, and shareholders can vote for or against the agenda through Samsung Securities' electronic voting system.

◆ Aims to raise capital and improve financial structure Geumyang has presented a restructuring of its data center business as a means of raising capital and improving its financial structure, and is seeking shareholders' approval through the extraordinary meeting. The company said it is continuously negotiating funding with domestic and foreign investors for normalization, and explained that a new turning point is needed based on securing the business of an AI company.

◆ Secondary battery infrastructure to be converted to AI data center The core of the company's plan is to utilize the power and industrial infrastructure secured for its existing secondary battery business for the AI data center business. According to Geumyang, the company secured large-scale power facilities for the operation of a secondary battery plant, including a 154kV-class substation and three 100MW-class transformers, and also holds water supply facilities and industrial infrastructure.

Geumyang plans to use this infrastructure to attract global AI tenants and operate AI data centers. It aims to generate stable cash flows and improve its financial structure through AI data center operations, and envisions subsequently pursuing a phased recovery of the existing secondary battery business, new investments, and the reopening of the secondary battery plant, while contributing to regional development through job creation.

◆ "Best way to raise capital"... Six-step procedure To this end, Geumyang is pursuing a plan to establish a data center business structure through a physical spin-off. The company explained that it judged this method to be the best way to raise capital.

The future procedure notified to shareholders consists of ▲establishing KYDC through the physical spin-off ▲raising investment funds ▲injecting capital into Geumyang ▲securing an unqualified opinion from an accounting firm through re-audit ▲resolving the delisting issue ▲resuming share trading, in that order. This is the plan presented by the company, and it does not mean that securing investment funds, improving the audit opinion, or resuming trading have been finalized.

◆ Consent requested from 240,000 shareholders... Whether normalization goals will be achieved remains uncertain Geumyang said it is currently discussing funding plans with specialized data center companies. The company mentioned enhancing value for approximately 240,000 shareholders and stakeholders, including partner companies, and requested shareholders' approval of the spin-off agenda.

Geumyang's shares are currently suspended from trading, and the AI data center business plan, capital raising, resolution of the delisting issue, and resumption of trading presented by the company remain normalization goals that have not yet been realized.

[This article is based on a company notice that Geumyang provided to shareholders. This article is not intended to solicit investment, and investment decisions and responsibilities rest with the investor. AI assistance was used in writing this article.]