EOFlow raises 500 million won as trading halt persists

EOFlow said Tuesday it has raised 500 million won ($368,053) through a third-party share issuance, the latest in a string of fundraisings by the Kosdaq-listed medical device maker as its shares remain suspended from trading.

The company will issue 200,000 new shares at 2,500 won ($2) each to a single investor, Kwon Dae-woo. Because the stock has not traded since March 21 last year, when it last closed at 1,490 won ($1), EOFlow priced the issue using a fair value reviewed by an outside accounting firm rather than a market price. That benchmark came to 2,763 won.

The fundraising is the third injection by outside investors in less than a year: Citadel provided 7.2 billion won ($5.3 million) in December 2025 and Cheoum Investment Fund No. 5 added 1.06 billion won ($780,272) in February 2026. The 500 million won raised now is earmarked for operating capital.

EOFlow has been squeezed by more than 18 months of litigation with a competitor, which has generated about 50 billion won ($36.8 million) in legal costs. The dispute limited new customer sign-ups and drove existing users away, cutting first-quarter revenue to 222 million won ($163,416).

The legal fight has moved in EOFlow's favour twice this year. On May 28, the US Court of Appeals for the Federal Circuit reversed a lower court ruling in the competitor Insulet's trade secret and patent infringement case, finding that Insulet's claim under the Defend Trade Secrets Act was filed outside the statute of limitations. Then on June 23, a US federal appeals court order temporarily lifted restrictions on recruiting new users and sales in Korea. If Insulet's petition for rehearing is granted, those restrictions could be reinstated.

"We will actively pursue new investment to improve our financial statements," EOFlow Chief Executive Officer Kim Jae-jin said. "If necessary, we are willing to accept a change of our largest shareholder."