Doosan Enerbility (034020) M&A Presentation summary

Strategic rationale and restructuring overview

• Group restructuring forms three growth clusters: clean energy, smart machines, and advanced materials to maximize synergies among affiliates.

• Governance restructuring aims to reduce vertical risks and streamline business clusters for focused growth.

• Each subsidiary will focus on its core business, enhancing operational efficiency and strategic clarity.

Spin-off and merger structure

• Doosan Enerbility will spin off a new entity holding its Doosan Bobcat stake and related debt, which will then merge with Doosan Robotics.

• Post-merger, Doosan Robotics will become the 100% owner of Doosan Bobcat, and Doosan Corp.'s stake in Doosan Robotics will decrease.

• The spin-off ratio is 1:0.2474030, and the merger ratio is 1:0.1275856, based on book and fair values, respectively.

Financial impacts and anticipated effects

• Net debt is expected to decrease by KRW1.2tn, with annual financing costs down by KRW66bn, improving financial solvency.

• EBITDA/financing cost ratio improves, and credit line capacity increases, supporting early investments in growth engines.

• Outstanding shares will reduce, potentially boosting EPS and allowing the company to focus on core energy operations.