On November 8, South Korean PCB manufacturer ISU Petasys (KOSPI: 007660) announced a KRW 550 billion (approximately CNY 2.83 billion or USD 410 million) rights offering, with plans to use the proceeds to enhance its PCB business and diversify through the acquisition of carbon nanotube (CNT) producer JEIO. This move addresses rising demand for multi-layer PCB (MLB) technology and aims to mitigate single-business risk by entering new markets.

The funding is split, with KRW 250 billion allocated to meet increased PCB demand, including AI-related applications, and KRW 300 billion earmarked for acquiring JEIO, a leader in CNT technology. CNT materials are expected to see rapid growth, especially in high-density energy applications like EV batteries, semiconductors, and aerospace. JEIO is reportedly the only company with a full-line CNT product offering.

Addressing market criticism regarding staggered disclosures of the investment and rights issuance, ISU Petasys clarified that the delay was due to administrative timing rather than intentional delay. Following the board decision at 9 a.m., the stock purchase agreement was finalized later in the day, leading to separate disclosures.

The company has also ramped up efforts to strengthen its core PCB business, including recent partnerships to develop high-performance materials and establish an overseas manufacturing base in Thailand. Its MLB technology, optimized for high-speed data transfer and signal stability, is becoming essential for next-gen network equipment.

ISU Petasys plans investor relations activities to explain its financing, goals, and business outlook, including participation in conferences and quarterly earnings reviews.

In response to the rights issuance announcement, ISU Petasys stock dropped sharply, closing 22.68% lower at KRW 24,550, briefly hitting a 52-week low during trading.