HLB Life Science acquires TiNiKo, a manufacturer specializing in superelastic Nitinol materials, to strengthen its medical device business.
HLB Life Science noted on the 10th that it plans to acquire 100% of the equity held by CEO Kang Ji-hoon of TiNiKo for 17 billion won. The payment will be made with 5 billion won in cash and convertible bonds (CB).
Nitinol is a shape memory alloy made from nickel and titanium, which returns to its original shape when heated to a specific temperature. In addition to its shape memory effect and superelasticity, it also boasts excellent biocompatibility, making it widely used in medical device materials. It has potential for expansion into various industries such as automotive, aerospace, and space. According to HLB Life Science, the global market size for Nitinol medical devices is projected to grow at an average annual rate of 7.1%, from $18.7 billion (27.2627 trillion won) in 2023 to $35.4 billion (51.62 trillion won) by 2032.
TiNiKo has successfully commercialized this Nitinol material for the first time in the country. It marks the localization of a core material that was previously reliant on imports. TiNiKo has established a supply chain from Nitinol raw materials to intermediate goods and finished goods, based on price competitiveness as well as differentiated quality maintenance technology. Notably, it also possesses the manufacturing technology for Nitinol microfibers with a diameter of 0.025 mm, equivalent to the thickness of human hair.
With the acquisition of TiNiKo, HLB Life Science plans to expand its medical device business, which has focused on syringes, needles, and filter syringes, to include orthopedic medical products such as spinal implants and needle-free drug delivery systems. Additionally, as the medical materials based on Nitinol are on a solid growth trajectory, it is expected to drive HLB Life Science's growth through stable revenue generation.
Nam Sang-woo, vice chairman of HLB Group and CEO of HLB Life Science, stated, "TiNiKo is a company that has led the localization of Nitinol materials, and is leading the market with its unique quality maintenance technology expertise," adding, "With the acquisition of TiNiKo, which is generating stable revenue, we will continuously enhance HLB Life Science's corporate value through the expansion of our medical device business."