Korean IPO boom expected in October

[Courtesy of SGI]

Initial public offerings (IPOs) are about to peak in South Korea, with seven companies launching bookbuilding sessions for institutional investors this week alone and the one for Seoul Guarantee Insurance Co. (SGI), valued at 3 trillion won ($2.21 billion), ending this week. All eyes are on the SGI IPO’s success as its desired offering price is twice the size of Doosan Robotics Inc., the largest listed company in 2023 to date.

According to the investment banking industry on Sunday, seven companies will begin their bookbuilding sessions this week alone. SAWNICS Inc., a radio frequency (RF) filter foundry, will hold its bookbuilding sessions between Tuesday and next Monday. SAWNICS is known for its technology and mass production competitiveness as it is the only company with six-inch foundry core technology. The lead manager of the company’s IPO is KB Securities Co.

U2Bio Co. has its bookbuilding scheduled for Wednesday and Thursday, and Echoeye Co. and BI Matrix Co. between Thursday and next Wednesday. U2Bio is a healthcare platform company that provides customized solutions, Echoeye is an environmental firm engaged in greenhouse gas reduction, while BI Matrix supplies business system solutions to large companies and financial and public institutions.

Megatouch Co., Contec, Inc., and Curocell Inc. will hold their bookbuilding sessions from Friday to the following Thursday. Megatouch manufactures equipment parts used in secondary batteries and semiconductor processes, and NH Investment & Securities Co. will manage the listing.

Contec, a space startup, provides satellite data integration solutions for receiving, processing, and analyzing satellite images via its ground stations. Daishin Securities Co. is the lead manager. Curocell develops anti-cancer immune cell therapy, and its IPO will be managed by Mirae Asset Securities Co. and Samsung Securities Co.

Investors are also keeping a close eye on the results of SGI’s bookbuilding session, which began on Friday and ends this Thursday.

The market cap for SGI, the only dedicated guarantee insurer in Korea, was 3.62 trillion won with its offering price ranging between 39,500 to 51,800 won. The company is scheduled to list itself on the securities market on November 3 following the public subscription from individual investors on October 25 and 26. Mirae Asset Securities and Samsung Securities are the lead managers.

This week, two companies in the semiconductor business will open for public subscriptions. Wot Co., a semiconductor equipment company, will begin public offerings for retail investors on Monday and Tuesday, and Qualitas Semiconductor Co., a semiconductor design asset company, on Wednesday and Thursday.