Seibu Giken Forms Capital Alliance with Kumyoung
Seibu Giken has announced its decision to acquire a 5% stake in Kumyoung, a South Korean company based in Yuseong-gu, Daejeon. The acquisition aims to strengthen the partnership between the two companies and expand Seibu Giken's reach in the global lithium-ion battery market.
Seibu Giken, known for its equipment essential to lithium-ion battery production for electric vehicles (EVs), is following its "Medium-Term Management Plan 2024-2026." This plan includes expanding its market share in both domestic and international battery industries by providing comprehensive solutions along with its current product offerings.
Kumyoung has made significant strides in constructing dry rooms and clean rooms necessary for lithium-ion battery manufacturing. The company has a strong presence not only in South Korea but also in North America, Europe, and Asia. Its recent success with lithium-ion battery gigafactories, particularly in North America, highlights its capabilities and market reach.
Since 2020, Seibu Giken and Kumyoung have collaborated to grow their customer base. This capital alliance is expected to further enhance their partnership, enabling Seibu Giken to increase its market share in the lithium-ion battery gigafactory sector worldwide.
Seibu Giken expects minimal immediate impact on its consolidated financial results for the fiscal year ending December 31, 2024. However, the company believes that this acquisition will improve its corporate value over the medium to long term. Seibu Giken will provide updates if any significant developments affect its operating results.
