Sewon to raise $30 mil. foreign investment
Sewon Telecom, a mobile handset producer, said yesterday it expects to raise $30 million in investment from Credit Suisse First Boston (CSFB).
According to company officials, the bank said it will buy all of the CBs (convertible bonds) which Sewon floated on the KOSDAQ stock market last Friday. The CBs, which will mature in three years with no interest rate, will be issued between late this month and early February.
The new investment will be used for R&D, operation costs and debt reduction, said Kang Chung-kil, a company official.
Sewon provides domestic and foreign firms with mobile handsets based both on CDMA (code division multiple access) and GSM (global system for mobile communications) technologies.
It also exports MP3 players to Asian markets.
"CSFB's decision is based on its confidence in Sewon's technology and growth potential," he said.
The company posted 155 billion won ($137 million) in sales last year, a 387 percent growth year-on-year, and aims to raise this year's revenue to 743 billion won.
This month, Sewon clinched export deals worth $200 billion and set up a U.S. subsidiary Pacific Telecom Research to explore U.S. and Latin American markets, he said. It is also considering establishing local ventures in Hong Kong and Bangkok, targeting Asian mobile markets. (HJJ)
Updated: 01/25/2000 |
