LIG Nex1 invests in Korean drone sensor company

Aerospace and defense firm LIG Nex1 said Friday it had acquired a 20 percent stake in Microinfinity, a domestic firm that makes navigation sensor chips for unmanned aerial vehicles.

According to LIG Nex1’s business report, it converted loans made to Microinfinity into 5 million shares worth 2.5 billion won ($2 million), equal to a 20 percent stake in the company, at the end of last year. This is the first case of LIG Nex1’s equity participation in a drone-related company.

A navigation sensor is a key component for drones and guided missiles to fly their planned trajectories.

“Currently, LIG Nex1 is developing small-sized drones for surveillance,” a company official said.

In 2018, the company won a military contract for small drones which are capable of vertical take-off and landing. The exact weight of the projectile that could be mounted on the drone is unknown. The drones are expected to be ready for military use by 2021.

“Microinfinity is currently supplying navigation devices to LIG Nex1. Though it’s unclear why the company made the investment, LIG Nex1 might have thought that there could be a strategic technology in Microinfinity,” an official from Microinfinity said.

By Kim Byung-wook (kbw@heraldcorp.com)