Nexa Dynamics Signs KRW 31.1 Billion AI Server Supply Contract

KOSDAQ-listed Nexa Dynamics is showing results from its business transformation, continuing a winning streak in orders following a management overhaul.

Nexa Dynamics announced on October 14 that it had signed a contract to supply high-performance AI server systems worth KRW 31.1 billion, based on the supply price, to a domestic next-generation AI company. The contract is equivalent to 239.1% of its consolidated revenue of KRW 13 billion in 2024.

Through this large-scale order, Nexa Dynamics plans to move beyond its existing business structure and establish itself as a leading solutions platform in the rapidly growing enterprise AI data center and high-performance computing (HPC) infrastructure markets.

The company has significantly strengthened its financial stability not only through the size of the order but also through the contract's financial terms. Upon signing the contract, Nexa Dynamics immediately received a deposit of KRW 9.33 billion, equivalent to 30% of the total contract value. This has enabled it to preemptively mitigate liquidity risks and secure the working capital needed to procure large volumes of equipment.

Nexa Dynamics has overhauled its board, bringing in experts from across the semiconductor, telecommunications and data center sectors. The new board includes CEO Lee Kangchil, a former SK hynix vice president; inside director Lee Donghan, formerly of Intel Korea; outside director Kim Hujong, who previously served as head of SK Telecom's Service Technology Institute and as a Huawei executive; inside director Lee Sangmin, a former head of technology at LG Uplus and an AI professor at Gachon University; and director Hwang Dongwoo, formerly of data center specialist DC Korea.

After the new management team took office, the company signed a supply contract worth $1.15 million with a Japanese IT company in September. Just a month later, it secured a series of major domestic orders worth more than KRW 30 billion, demonstrating its global network and execution capabilities.

A Nexa Dynamics official said, "This supply contract demonstrates that the market has confidence in our technology-sourcing capabilities and financial stability, and marks a symbolic milestone signaling the start of a full-fledged turnaround. We will do our utmost to enhance shareholder value by ensuring stable product delivery and expanding our AI infrastructure orders at home and abroad."

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