1. What Happened? (Event Analysis)

On September 18, 2025, Cellbio Human Tech decided to dispose of 341,930 shares of its treasury stock (3.69% of total outstanding shares) for approximately KRW 3.5 billion. This disposal is intended for the issuance of private exchangeable bonds, utilizing the treasury stock as the exchange target. The underwriting firm is DB Securities.

2. Why This Decision? (Background and Objectives)

This treasury stock disposal has two main objectives. First, to improve the financial structure and secure liquidity. The cash secured through the disposal can be used to repay short-term debt and as operating funds. Second, to secure treasury stock for the issuance of private exchangeable bonds. Exchangeable bonds can lead to future new share issuance, which can contribute to the company’s capital increase.

3. Impact on Stock Price? (Impact Analysis)

  • Short-term impact: Treasury stock disposal can be perceived as an increase in market supply, putting downward pressure on the stock price. Conversely, if the aspect of improved financial soundness is highlighted, it can positively affect the stock price.
  • Long-term impact: If the funds raised through the issuance of exchangeable bonds are effectively utilized for new business investments, etc., long-term stock price increases can be expected. However, if investment performance is poor, it can negatively affect the stock price.

4. What Should Investors Do? (Action Plan)

  • Carefully review the terms of the exchangeable bond issuance (interest rate, maturity, exchange ratio, etc.).
  • Monitor the use plan and execution status of the funds from the treasury stock disposal.
  • Re-evaluate the competitiveness and growth potential of the mask pack material business.
  • Pay attention to whether the new businesses (wound dressing, quasi-drugs, etc.) are showing tangible results.
  • Keep an eye on the trends of macroeconomic variables such as exchange rates, interest rates, and oil prices.