[Edaily Reporter NA EUN-KYUNG ] On the 11th, stock prices of listed companies in the dental sector rose across the board in the domestic pharmaceutical, biotech, and healthcare market. The domestic dental industry has established a high proportion of exports and a global sales network not only in dental implants but also in the field of digital dentistry, including dental computed tomography (CT), intraoral scanners, and clear aligners. On this day, #Graphy Inc. Ray Co., Ltd.(228670) rose sharply on expectations of business expansion following its acquisition, while Value Added Technology Co., Ltd.(043150)saw a significant increase driven by strong second-quarter earnings. Precision diagnostics company NGeneBio Co., Ltd.(354200)also regained a market capitalization of around 20 billion won following news of obtaining European certification.

Graphy Inc. Soars 18% Intraday on Ray Co., Ltd. Acquisition News

According to KG Zeroin MP Doctor (MP DOCTOR, formerly Marketpoint) on the 11th, Graphy Inc. closed at 22,300 won, up 10.9% from the previous trading day. At one point during the session, the stock soared as high as 23,750 won, an 18.16% increase. Investor interest continued after the announcement of the agreement to acquire a controlling stake in Ray Co., Ltd. following the close of regular trading the previous day, with the stock rising 2.49% on the Nextrade (NXT) after-hours market.

Graphy Inc. will acquire 4,087,749 shares (26.14%) of Ray Co., Ltd. held by Ray Holdings and CEO Lee Sang-cheol ( Ray Co., Ltd.(228670) ) for approximately 49.2 billion won. If the transaction is completed as scheduled, Graphy Inc. will become Ray Co., Ltd.’s largest shareholder on the 16th of next month. This is not merely a equity investment but an acquisition of management control, whereby Graphy Inc. will appoint directors and auditors of its choice through an extraordinary general meeting of shareholders.

Expectations for the business synergy between the two companies have driven up the stock price. While Graphy Inc. possesses shape-memory alloy (SMA)-based clear aligners and 3D printing materials and manufacturing technologies, Ray Co., Ltd. excels in dental 3D CT, intraoral scanners, and diagnostic and treatment planning software. By integrating the two companies’ technologies, they can build a digital dentistry platform that connects the entire process—from diagnosis via imaging and scanning of the patient’s mouth to treatment planning, and the production and application of clear aligners.

Ray Co., Ltd.’s global distribution network is also cited as a key source of synergy. Ray Co., Ltd. has expanded into approximately 70 countries and operates 14 overseas hubs in the U.S., Canada, Germany, France, Japan, China, and elsewhere. Graphy Inc. can cross-sell SMA materials and finished products to Ray Co., Ltd.’s existing equipment customers, thereby reducing the time and customer acquisition costs required to enter new markets. Ray Co., Ltd., in turn, can expand its recurring revenue by combining sales of equipment—which has a long purchase cycle—with sales of materials and orthodontic appliances, which are generated with each patient treatment.

However, the actual extent of the synergy will depend on how quickly the two companies’ products and software can be integrated after the acquisition is finalized, and how effectively SMA sales through Ray Co., Ltd.’s distribution network can be scaled up. Graphy Inc. paid an initial deposit of 2.1 billion won yesterday and is scheduled to pay 26.77589 billion won on the 15th of next month and 20.27521 billion won on the 16th, respectively.

Value Added Technology Co., Ltd.’s 3D Business Rebounds After Weak First Quarter… Operating Profit Up 45%

Value Added Technology Co., Ltd.(043150)extended its gains after announcing its preliminary second-quarter earnings at 2:13 p.m. today. The stock closed at 22,150 won, up 12.95% from the previous trading day.

Value Added Technology Co., Ltd.’s consolidated revenue for the second quarter was 121.362 billion won, a 9.7% increase year-over-year. Operating profit rose 45.0% to 24.473 billion won, and net income surged 200.6% to 22.189 billion won. The operating profit margin stood at 20.2%, up 4.9 percentage points from the same period last year. However, the increase in operating profit was partly driven by one-time gains.

Notably, the company’s flagship 3D products, which had slowed in the first quarter, rebounded. Value Added Technology Co., Ltd.’s standalone revenue from 3D dental computed tomography (CBCT) fell 20.2% year-over-year in the first quarter but rose 6.8% to 42.125 billion won in the second quarter. Sales of 2D X-ray systems also rose by 14.3%, while sales of intraoral sensors and other products increased by 6.7%, indicating growth across all product lines.

By region, growth in Europe accelerated further. The growth rate in Europe expanded from 11.7% in the first quarter to 23.4% in the second quarter. This was driven by sales in France, Germany, and the Czech Republic, which increased by 44.2%, 27.1%, and 38.9%, respectively, in the second quarter. Sales in Asia also rose by 21.1%, while sales in the U.S. and South America increased by 2.7% and 7.4%, respectively.

At an investor briefing last May, Value Added Technology Co., Ltd. assessed that demand in the dental imaging diagnostics market is shifting from 2D to 3D products. Accordingly, the company is pursuing a dual-track strategy: expanding its lineup of premium 3D products with large fields of view (FOV) in developed markets, while focusing on mid-range and entry-level products in Shinhung markets. The company identified the “Green X 12”—which combines CT, panoramic, cephalometric, and model scanning functions—as its next-generation growth product.

The company has also established a global sales infrastructure. Value Added Technology Co., Ltd. supplies products to approximately 100 countries through 25 overseas subsidiaries worldwide, and 92.6% of last year’s revenue came from exports. A key strength is that its overseas subsidiaries handle local marketing and after-sales service, enabling the company to expand sales by leveraging existing distribution networks following new product launches. In the second half of the year, the company plans to strengthen its software competitiveness by focusing on the “Clever One” digital diagnostic platform—which incorporates artificial intelligence (AI) features—alongside region-specific product strategies.

Hwang Kyu-ho, CEO of Value Added Technology Co., Ltd., said, “We continued our growth momentum in major markets such as Europe and Asia, building on our product competitiveness and local business capabilities,” adding, “We will continue to expand into the global market by introducing differentiated solutions focused on improving patient convenience and the accuracy of dental diagnostics.”

Up 14%: Will NGeneBio Co., Ltd. Shake Off Its “Under Surveillance” Status?

NGeneBio Co., Ltd.(354200)closed at 2,275 won, up 13.9% from the previous trading day, following news that its hereditary cancer diagnostic panel had obtained certification under the European In Vitro Diagnostic Medical Devices Regulation (CE-IVDR).

NGeneBio Co., Ltd. announced today that it has obtained quality management system certification under CE-IVDR for its hereditary cancer diagnostic panel, “BRCA AccuTest Plus.” According to the company, this is the first such certification among domestic breast and ovarian cancer diagnostic panels.

Building on its existing CE-IVDD certification, NGeneBio Co., Ltd. has been supplying its BRCA diagnostic panel to countries such as Poland, Türkiye, and Lithuania. Leveraging this new certification, the company plans to expand its business scope in Western Europe—including Germany, where it has primarily focused on blood cancer products—to include hereditary cancer and solid tumors. The company’s strategy is to accelerate the process of obtaining approvals and securing new sales channels not only in Europe but also in South Asia and Southeast Asia, where the credibility of CE-IVDR certification is recognized.

BRCA AccuTest Plus is a next-generation sequencing (NGS)-based precision diagnostic panel that analyzes BRCA1 and BRCA2 gene mutations simultaneously. It assesses the risk of developing hereditary breast and ovarian cancer syndrome in patients and supports clinical decision-making. It is characterized by a broader range of gene mutation detection compared to existing products and a proprietary data refinement algorithm that reduces data processing time by 3.6 times.

Meanwhile, NGeneBio Co., Ltd.’s market capitalization remains a risk in terms of its financial health and ability to maintain its listing status. Last April, NGeneBio Co., Ltd. decided on a 3-for-1 stock split without consideration to offset accumulated losses and improve its financial structure. While maintaining the par value of 1,000 won, the company consolidated three common shares into one, reducing the number of outstanding shares from 26,809,750 to 8,936,583. Consequently, the company’s capital decreased by 66.67%, from approximately 26.8 billion won to 8.9 billion won. The stock split took effect on June 25, and the company was relisted on July 13.

The stock price, which stood at 737 won on June 22—just before trading was suspended—rose to 1,525 won on the first day of trading following the stock split, thereby no longer meeting the criteria for a “penny stock” (under 1,000 won). However, as of that day, the market capitalization stood at approximately 20.3 billion won, only slightly exceeding the 20 billion won threshold for designation as a KOSDAQ “monitored stock.” Since last July, KOSDAQ-listed companies are designated as “monitored stocks” if their common stock market capitalization remains below 20 billion won for 30 consecutive trading days.

Another concern is that, starting next January, the market capitalization threshold for KOSDAQ-listed companies will be raised once again, from 20 billion won to 30 billion won. Since a company is designated as a “monitored stock” if its market capitalization remains below 30 billion won for 30 consecutive trading days, the key to maintaining its listing going forward will depend on whether new supply contracts based on CE-IVDR certification and the expansion of overseas sales will lead to increased corporate value and a rise in the stock price.

Song Myung-jun, Head of the Diagnostics Business Division at NGeneBio Co., Ltd., said, “This will mark a turning point as we begin to actively expand our portfolio of hereditary cancers and solid tumors into the markets of advanced Western European countries, such as Germany, which were previously focused on blood cancers.”