1. What Happened? Neontech Announces ₩15 Billion BW Issuance

Neontech announced on September 17, 2025, the issuance of ₩15 billion in Bonds with Warrants (BW), representing 13.41% of its market capitalization. The issuance will be conducted privately, with an exercise price of ₩2,151 and a maturity interest rate of 1.0%. The exercise period is from September 25, 2026, to August 25, 2030.

2. Why the BW Issuance? Securing Funds and Improving Financial Structure

Neontech aims to secure operating funds and new business investment funds through this BW issuance. With urgent need for investment in future growth engines such as robotics, autonomous driving, and smart farms, the BW issuance is expected to help secure short-term liquidity. The funds can also be used to repay short-term debt and improve the company’s financial structure.

3. Impact on Stock Price: Opportunities and Risks Coexist

  • Positive Impacts: Increased investment in new businesses through funding, potential improvement in financial structure, and capital increase effect through BW exercise if the stock price rises.
  • Negative Impacts: Potential stock dilution upon BW exercise, interest payment burden at maturity, and possibility of market confidence decline coupled with sluggish performance.

4. Investor Action Plan: Cautious Approach and Observation Needed

Currently, Neontech faces challenges such as sluggish performance and a high debt-to-equity ratio. While the BW issuance presents an opportunity to secure funds, it also carries the risk of stock dilution. Therefore, investors should approach cautiously, paying attention to short-term stock price volatility. From a mid- to long-term perspective, it is advisable to make investment decisions by closely monitoring new business performance and improvements in the financial structure. In particular, if the stock price exceeds the BW exercise price of ₩2,151, the possibility of BW exercise should be considered.