Gaon Electric announced plans to conduct a free issuance of shares to enhance shareholder value and broaden its investor base.
The company revealed on June 17 that its board of directors approved the free share issuance the previous day.
The record date for the new share allocation is set for July 1, with a distribution ratio of 0.8 shares for each common share. As a result, the total number of issued shares will increase from the current 16,543,115 to 29,777,607.
This free issuance aims to share the company's growth achievements in the AI data center power infrastructure market with shareholders and expand its investor base.
Gaon Electric has been strengthening its AI data center power infrastructure business. The company is accelerating its entry into the North American market in collaboration with its U.S. subsidiary, LSCUS, by providing comprehensive power solutions that include cables, cable buses, and bus ducts.
Last month, Gaon Electric secured a contract worth approximately 4 trillion won to supply bus ducts to a major U.S. tech company's AI data center. Bus ducts are structured with insulated copper and aluminum conductors placed inside a modular metal casing, allowing for significant space efficiency compared to traditional cables, which require more room to handle the substantial power demands of AI data centers.
Jung Hyun, CEO of Gaon Electric, stated, "This free issuance is a decision to share the company's growth achievements with shareholders. We will continue to grow in the AI data center power infrastructure market while enhancing both corporate and shareholder value."
* This article has been translated by AI.
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