As reported by IC&PCB UNION on December 1, Taesung (KOSDAQ: 323280), a leading South Korean manufacturer of PCB automation equipment, is moving forward with a significant investment to expand its production capacity. The company is raising 96 billion KRW through a rights offering to fund the construction of a new factory, designed to support its growing business areas in composite copper foil and semiconductor glass substrates.

According to public disclosures, 84 billion KRW of the raised funds will be allocated for facility expansion. This includes the construction of new production lines for secondary battery materials and semiconductor glass substrates, in addition to expanding the existing PCB production lines.

Internally referred to as the "Cheonan New Factory," the new facility will be located in the Cheonan North Industrial Complex, where Taesung purchased a 30,059 square meter (approximately 7.4 acres) plot of land in September for about 19 billion KRW. The factory will be divided into two main buildings: Building A, which will house the composite copper foil and glass substrate production processes, and Building B, which will accommodate new business lines related to materials and camera modules.

The new factory's production capacity for composite copper foil equipment alone is expected to reach 20 units per month, or 240 units annually. Each unit is priced at approximately 4 million USD (53.47 million KRW). If operating at full capacity, the factory could generate theoretical annual revenue of up to 960 million USD (1.28 trillion KRW). The mass production line for semiconductor glass substrate equipment is also nearing completion and will be part of the new facility.

Taesung invested nearly 20 billion KRW, combining its own funds with borrowing, to secure the land for the new factory. The company’s 96 billion KRW capital increase aims to finance the subsequent steps in the construction process. While the investment is significant, it is believed to be supported by agreements with key customers, ensuring demand for the new factory’s production.

Construction is expected to begin in early 2025, with completion anticipated by mid-year. Production will start immediately after the factory is finished, and shipments to major global customers are scheduled to begin in October 2025.