'Saenaegi' Shindogiyun Plummets After High IPO Price... Expectations for Foldable and Hydrogen Fuel Cell New Businesses

[Asia Economy Reporter Park Hyungsoo] Shindogiyeon, newly listed on the KOSDAQ market, is experiencing a sharp decline compared to its opening price on the first day of listing. Since the opening price was set at twice the public offering price, it appears that sell orders for profit-taking have flooded the market.

As of 9:10 a.m. on the 6th, Shindogiyeon is trading at 25,800 KRW, down 19.38% from the opening price.

The opening price was set at 32,000 KRW, which is 100% higher than the public offering price of 16,000 KRW. Afterward, the stock price rose to 33,000 KRW before widening its decline.

Founded in 2000, Shindogiyeon is a developer of post-processing equipment for Liquid Crystal Displays (LCD) and Organic Light Emitting Diodes (OLED). Its main products are laminating equipment that bonds panels and various components during the post-processing stage of display panel manufacturing, and autoclave equipment that removes microbubbles.

In 2008, Shindogiyeon developed a vacuum laminator that bonds under uniform pressure in a vacuum state. The vacuum laminator has the advantage of minimizing bubble intrusion compared to roller laminators, which apply pressure to films by rollers passing over substrates. By developing the vacuum laminator, also known as a 3D laminator, Shindogiyeon secured advanced technology ahead of competitors, strengthening its competitiveness.

Shindogiyeon was the first in the world to develop a curved vacuum laminator. With the emergence of various display types such as flexible and foldable displays, demand for curved vacuum laminators is expected to increase.

Park Woong-ki, CEO of Shindogiyeon, said at a pre-listing press conference last month, "Shindogiyeon is researching proprietary process technology for the localization of domestic display equipment," adding, "After listing, we will expand overseas customers in the display equipment sector and actively enter new businesses requiring related technologies, such as hydrogen fuel cells and vacuum glass."

Leveraging its excellent technological capabilities, Shindogiyeon is actively targeting the display market. It is focusing on the rapidly growing Chinese flexible OLED market.

Shindogiyeon has also planned to expand its business into the hydrogen fuel cell equipment and vacuum glass markets by utilizing its core technologies. In the hydrogen fuel cell field, Shindogiyeon developed membrane electrode assembly (MEA) bonding equipment that moves hydrogen ions. The MEA is a key component in hydrogen fuel cells that produces electricity by moving hydrogen ions. In 2009, Shindogiyeon was the first in the world to develop and supply customers with a vacuum press that bonds MEAs using vacuum and heat. Depending on the growth of the hydrogen fuel cell market, the company plans to strengthen related business sectors.

In the vacuum glass field, Shindogiyeon is developing new third-generation vacuum glass manufacturing equipment. Existing methods in the vacuum glass field have the disadvantage of complex manufacturing processes and a high possibility of defects due to applying pressure at high temperatures. It is expected that developing technology to bond at room temperature will expand market share in the vacuum glass sector.