Sumagen Co., Ltd. announced a private placement of 2,717,845 common shares at KRW 4,611 per share for gross proceeds of KRW 12,531,983,295 on August 4, 2016. The shares have a par value of KRW 500 per share and will be issued at premium. The transaction will include participation from existing investors CUROCOM.Co.Ltd. (KOSDAQ:A040350) for 2,010,000 shares and GNCO Co., Ltd. (KOSDAQ:A065060) for 707,845 shares.

The company will issue 0.1304564 new shares for every existing share. The transaction is expected to be completed by August 5, 2016. The transaction was approved by the board of directors of CUROCOM.Co.Ltd. Pursuant to the transaction, GNCO Co., Ltd. shall hold 35.22% stake in the company.

The company reported total assets of KRW 22,940,000,000, total liabilities of KRW 17,904,000,000, total capital of KRW 5,036,000,000, capital of KRW 5,828,000,000, sales of KRW 0, and net profit of KRW -2,644,000,000 for the year ended December 31, 2015.