ISU PETASYS is pursuing the acquisition of carbon new material corporation JEIO, which is showing weaknesses in the early trading session on the 9th. Japan's Nomura Securities issued a 'sell' recommendation on JEIO.
JEIO shares traded at 15,030 won in the Korea Securities Dealers Automated Quotations (KOSDAQ) at 9:04 a.m. on this day. The stock price fell by 0.86% (130 won) compared to the previous day.
According to the financial investment industry, Nomura Securities released a report the previous day, lowering its investment opinion on JEIO from 'neutral' to 'reduce.' The target price was also adjusted downwards from 18,800 won to 12,300 won. Nomura Securities evaluated that the electric vehicle chasm is continuously impacting JEIO's revenue.
JEIO is a corporation focusing primarily on carbon nanotube (CNT) products for secondary batteries. ISU PETASYS is pursuing the acquisition of JEIO to expand its business area into materials.
ISU PETASYS has also initiated a paid-in capital increase to secure funds for the acquisition and expansion. It will first allocate newly issued 20,103,080 shares to existing shareholders, and if there are remaining unsubscribed shares, it will conduct a public offering for general investors. The Financial Supervisory Service has required the submission of corrected reports related to the paid-in capital increase twice, but ISU PETASYS's management recently expressed its intention to continue with the capital increase after meeting with the small shareholders' association.