Samsung Electronics Co. is seeking to acquire controlling stake in Rainbow Robotics Co., a collaborative robot maker. The technology giant has identified the robot business as one of its growth drivers and aims for control to gain ground in the industry.
Samsung has acquired 913,939 shares in Rainbow Robotics for 27.8 billion won ($21.2 million) through an off-market deal. With the purchase of the shares, Samsung’s stake has risen from 10.3% to 14.99%.
Samsung has also signed a purchase option contract, which allows it to purchase the stakes held by Rainbow’s largest shareholder and relevant parties on a priority basis if they decide to sell their shares.
If Samsung exercises its purchase option rights, its stake in Rainbow Robotics would rise to 59.94%, sufficient to gain control of the robot maker’s management.
In January, Samsung had acquired a 10.3% stake in Rainbow Robotics, a company listed on South Korea’s Kosdaq exchange, for 59 billion won, marking the tech giant’s first investment in a collaborative robot maker.
Industry sources had said last month that Samsung, the world’s largest chip and smartphone maker, planned to launch its first wearable robot in the market by the end of 2023 to gain ground in a rapidly growing industry.
According to Brandessence Market Research & Consulting, the global collaborative robot market is expected to grow from $35.2 billion in 2021 to $140.9 billion by 2027.