OSR Holdings signs term sheet to acquire noninvasive glucose tech firm

BELLEVUE/SEOUL - OSR Holdings, Inc. (NASDAQ:OSRH), currently valued at $19.66 million and trading near its 52-week low, announced Thursday it has signed a term sheet for the strategic acquisition of South Korean medical device company Woori IO Co., Ltd. through its Korean affiliate, OSR Holdings Co., Ltd. (OSRK). According to InvestingPro analysis, the company appears undervalued based on its Fair Value assessment.

Under the proposed structure, Woori IO would become a wholly owned subsidiary of OSRK. Woori IO shareholders would receive newly issued OSRK shares through a share exchange and may be eligible to convert them into OSRH common stock at a fixed ratio of 1 OSRK share to 12.96 OSRH shares, provided OSRH’s stock price reaches $10.00 at least once within three years - a significant premium to its current price of $1.02.

The agreement includes a six-month exclusivity period for due diligence with a target to complete the transaction within this timeframe.

Woori IO develops noninvasive glucose monitoring technology using near-infrared spectroscopy (NIRS), which measures glucose without needles or skin penetration. The company has completed a proof-of-concept study with Korea University Hospital (Guro) and plans to enter a larger confirmatory trial for medical device approval with Korea’s Ministry of Food and Drug Safety.

The company was recently selected for Samsung Electronics’ innovative startup program in the first quarter of 2025.

The global blood glucose monitoring devices market is projected to exceed $40 billion by 2030, according to market research cited in the press release.

"We believe this initial milestone with Woori IO aligns strongly with our mission to accelerate breakthrough healthcare innovations with global impact," said Peter Hwang, CEO of OSRH. While the company operates with a moderate debt level, InvestingPro data shows current financial challenges, including negative earnings and cash flow. Discover more insights and 8 additional ProTips about OSRH’s financial health with an InvestingPro subscription.

In other recent news, OSR Holdings has announced key developments that could impact its future trajectory. The company revealed a roadmap for a $50 million security token offering planned for the second half of 2025. This initiative will be conducted under Regulation D of the U.S. Securities Act, with the token tentatively named OSRT. It will represent equity exposure and accept Bitcoin, Tether, and Taekwondo Access Credit as subscription currencies. Additionally, OSR Holdings appointed Dr. Andreas Niethammer as Chief Medical Officer of its subsidiary, Vaximm AG. Dr. Niethammer brings over 20 years of experience in cancer immunotherapy and clinical development to the role. In another development, Sang Hyun Kim, an independent director, resigned from the board of directors effective June 26. The company stated that his resignation was not due to any disagreements with OSR Holdings. No successor has been named following his departure.

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