Qurient CEO Ki-Yeon Nam: "Chose Shareholder Rights Offering with Confidence in Upcoming Events"

Issuance of 7.1 Million New Shares, Raising KRW 101.6 Billion
Major Events Lined Up for the Second Half of the Year
"Decision Made to Share Value with All Shareholders"
"Focusing Investment on Dual Payload ADC"

"A series of major events is lined up from the second half of this year through next year. As we expect the company's valuation to rise, we have determined that a rights offering to existing shareholders is the most suitable option."

On September 4, at Qurient's headquarters in Bundang-gu, Seongnam, Gyeonggi Province, CEO Ki-Yeon Nam explained the background of the upcoming rights offering. Qurient, a drug development company, announced on this day that it would issue 7.1 million new shares through a rights offering to shareholders, followed by a general public offering of forfeited shares. The total amount to be raised is KRW 101.6 billion.

It is widely known that Qurient previously considered a range of funding methods ahead of this capital increase, including private mezzanine placements. Although a third-party allotment was initially strongly considered, the company ultimately decided that it would be more appropriate to share the growing value with all shareholders, especially given the anticipated tangible results in drug development and clinical achievements this year.

Gi-Yeon Nam, CEO of Curient. Curient

CEO Nam stated, "Although details are still confidential, there are several anticipated events scheduled to begin in the second half of this year. Even knowing these situations, opting for a third-party allotment could lead to considerable shareholder dissatisfaction down the line, so we chose a rights offering for shareholders. We have also decided to actively communicate the rationale for this decision with them."

With this rights offering, all existing shareholders can participate on equal terms in proportion to their existing shareholdings. Shareholders who do not participate in the rights offering will also be able to obtain economic value by selling their rights to acquire new shares. Unlike funding via mezzanine instruments such as convertible bonds (CBs), this method does not create a potential oversupply of shares to be converted later, thus avoiding downward pressure on the stock price at critical times when key milestones are achieved.

The funds raised by this capital increase are slated to be primarily invested in the field of dual payload antibody-drug conjugates (ADC). Qurient plans to expand its pipeline by developing a new dual payload ADC candidate based on a new target antibody, following its current work on QP101. In addition, the company aims to accelerate the commercialization of its dual payload ADC platform, thereby cementing its presence in the next-generation ADC market.

Qurient also expects significant achievements in its existing pipeline from the second half of this year through next year. Major anti-cancer drugs such as Adricetinib (Q702) and Mocacyclib (Q901) have entered stages where their efficacy is being validated in the target patient population. The dual payload ADC candidate QP101 is currently undergoing preclinical research, and the approved clinical candidate Telacebec (Q203) has been nominated for the best bioproduct category at the Prix Galien Korea.

Qurient views this year as an inflection point, where the research and development achievements accumulated thus far are now translating into meaningful clinical and business performance. Since its founding, the company has focused on research and development strategy and design rather than maintaining its own laboratory, utilizing a 'Labless Research House' model. The results of this focused approach are now becoming increasingly visible.

CEO Nam commented, "As our core pipelines have entered the efficacy validation phase this year, the visibility of both clinical and business achievements is increasing. With the added financial foundation from this investment, we are committed to accelerating our drug development programs and maximizing shareholder value."

This content was produced with the assistance of AI translation services.