Key Takeaways
- • Aion Asset Management fully exited its investment in The Geumyoung, a dry room and clean room specialist for secondary battery manufacturing, through an M&A transaction that delivered a 170% return on both of its sequential funds.
- • The predecessor fund, established in 2023 with approximately 8 billion Korean won, was liquidated in 2025 at a 170% return, while the follow-up fund of approximately 18 billion Korean won also achieved a 170% return via the management rights acquisition.
- • Aion acquired roughly 30% equity, becoming the second-largest shareholder, through existing shares and convertible redeemable preferred shares (RCPS) purchased via funds formed in 2023 and 2024.
- • The exit was executed after a confidential M&A process of about 10 months, in which a private equity firm acquired management rights; market analysis suggests the buyer is effectively a major domestic conglomerate given affiliations of the PE firm's GP and key LPs with the conglomerate's financial subsidiaries.
- • The deal was pursued in parallel with an IPO track after the EV market slowdown and the completion of major battery plant expansions cooled market conditions.
Summary
Aion Asset Management has successfully exited its investment in The Geumyoung, a specialist in the design and construction of dry rooms and clean rooms essential to secondary battery manufacturing, according to Chosun Ilbo. The exit generated a 170% return and was achieved by pursuing IPO and M&A strategies simultaneously while actively seeking direct M&A buyers.
Aion built its position through two sequential funds. Its first fund, established in 2023, invested in existing shares, while a second fund established in 2024 invested in convertible redeemable preferred shares (RCPS). Together the stakes gave Aion approximately 30% equity and the second-largest shareholder position. After investing, Aion dispatched a dedicated chief financial officer to build a management system, improved the company's financial structure and led the selection of underwriters for a potential IPO.
The investment was supported by the U.S.-centric expansion of secondary battery production facilities and consecutive orders for major battery plant expansion projects. Favorable sentiment toward battery-related companies had raised expectations for an IPO exit. As major expansion projects neared completion and electric vehicle market growth slowed sharply, however, the market cooled, and Aion continued IPO preparations while exploring M&A alternatives.
The M&A process, conducted confidentially over roughly ten months, ended with a private equity firm acquiring management rights in The Geumyoung. Market analysis suggests the buyer is effectively a major domestic conglomerate, since the PE firm's general partner and key limited partners are affiliated with that conglomerate's financial subsidiaries. Aion led the process, from identifying the buyer and structuring the deal to coordinating stakeholders, and finalized the recovery of its remaining stake.
The predecessor fund, with approximately 8 billion won, was liquidated in 2025 at a 170% return. The follow-up fund, with approximately 18 billion won, also achieved a 170% return through the management rights sale. The source characterizes the transaction as an example of Aion's private equity strategy, which spans buyouts, minority stake investments, and exits via IPO or M&A. An industry source quoted in the article noted that recovering investments at the right time and through the appropriate method is as important as identifying good companies.
Aion built its position through two sequential funds. Its first fund, established in 2023, invested in existing shares, while a second fund established in 2024 invested in convertible redeemable preferred shares (RCPS). Together the stakes gave Aion approximately 30% equity and the second-largest shareholder position. After investing, Aion dispatched a dedicated chief financial officer to build a management system, improved the company's financial structure and led the selection of underwriters for a potential IPO.
The investment was supported by the U.S.-centric expansion of secondary battery production facilities and consecutive orders for major battery plant expansion projects. Favorable sentiment toward battery-related companies had raised expectations for an IPO exit. As major expansion projects neared completion and electric vehicle market growth slowed sharply, however, the market cooled, and Aion continued IPO preparations while exploring M&A alternatives.
The M&A process, conducted confidentially over roughly ten months, ended with a private equity firm acquiring management rights in The Geumyoung. Market analysis suggests the buyer is effectively a major domestic conglomerate, since the PE firm's general partner and key limited partners are affiliated with that conglomerate's financial subsidiaries. Aion led the process, from identifying the buyer and structuring the deal to coordinating stakeholders, and finalized the recovery of its remaining stake.
The predecessor fund, with approximately 8 billion won, was liquidated in 2025 at a 170% return. The follow-up fund, with approximately 18 billion won, also achieved a 170% return through the management rights sale. The source characterizes the transaction as an example of Aion's private equity strategy, which spans buyouts, minority stake investments, and exits via IPO or M&A. An industry source quoted in the article noted that recovering investments at the right time and through the appropriate method is as important as identifying good companies.
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