This article was displayed on the ChosunBiz MoneyMove (MM) site at 9:52 a.m. on Apr. 24, 2026.
Cellumed, a KOSDAQ-listed company facing delisting, has decided to lend funds to an external corporation equal to nearly half of its equity. With its capital impairment ratio exceeding 50% and uncertainty over its status as a going concern emerging, the company even sent out funds that had been raised to pay damages. To make matters worse, people affiliated with the corporation that borrowed Cellumed's funds have repeatedly appeared at companies facing delisting in the past. That is why questions are being raised about the background of this lending.
According to the Financial Supervisory Service's electronic disclosure system on the 24th, Cellumed decided on the 22nd to lend 14 billion won to the unlisted PrimeCore. The size of the lending amounts to about 45% of its equity (31.2 billion won). The lending period is one month from April to May this year, and the interest rate is 6%.
It is not uncommon for a listed company to lend funds to another corporation for interest revenue, but considering Cellumed's current cash situation, some say the decision is hard to understand.
Cellumed is currently undergoing delisting procedures due to a poor financial condition. Based on last year's results, it recorded a capital impairment ratio of 69.3% and, for the second straight year, became subject to a substantive delisting review for exceeding the capital impairment threshold. It suggests the company is in no state to lend out funds for short-term revenue when it is struggling to repay its debts.
In addition, Cellumed must pay damages stemming from a royalty lawsuit over artificial joints. In Feb. last year, Cellumed lost a royalty suit that had continued for 12 years against Buchel Pappas in the United States. The damages payable to Buchel Pappas due to the loss amount to 24 billion won. Through a subsequent settlement, the damages were reduced to about 16.5 billion won, and even considering the existing seizure of claims of about 2 billion won, the amount that still needs to be raised for damages alone is 13.3 billion won.
To raise money to pay the damages, Cellumed in December carried out a 17 billion won third-party allotment capital increase to TD Landmark Fund No. 1 and transferred management control from former largest shareholder Inscobee. With the capital increase paid in on the 20th, it was expected that the funding problem would be resolved. However, Cellumed decided to lend to an external corporation instead of using 13.3 billion won of the capital increase proceeds for their intended purpose of paying the damages.
Cellumed said, "The lending principal and interest will be fully recovered by May 15, the deadline for paying the damages, and used for the originally intended purpose of the capital increase proceeds."
However, looking at the management history of PrimeCore, the corporation that borrowed the funds, it is hard not to question this lending decision.
Lee Byung-jun, PrimeCore's co-CEO, previously served as an inside director at KOSDAQ-listed COSNINE, and during that time is suspected of embezzling company funds. COSNINE is now set to be delisted due to embezzlement and breach of trust and a disclaimer of opinion from auditors, but an injunction to suspend the effect of the delisting decision has been filed.
Lee also attempted to bring in new directors during the sale of Bucket Studio, the holding company of the virtual asset exchange Bithumb. Another co-CEO, So Min-ji, attempted in 2024 to join the board of Rolling Stone (then MiCo BioMed) but failed. Both Bucket Studio and Rolling Stone are currently facing delisting reasons and have had their stock trading suspended.
PrimeCore has also recently been named in connection with corporations subject to delisting. PrimeCore decided to participate in DHX Company's third-party allotment capital increase and completed payment on the 7th. With this participation, PrimeCore will become DHX Company's largest shareholder. However, DHX also triggered delisting reasons after failing to obtain an audit opinion in last year's audit.
Meanwhile, when asked about the circumstances of the fund lending, Cellumed said, "We have nothing to add beyond what has been disclosed."