[IPO] Genolution "Leap to Global Leader in the Gene Field"

[Asia Economy Reporter Hyunseok Yoo] Genolution, a company developing in vitro diagnostic medical devices, held an IPO press conference on the 9th in Yeouido with CEO Kim Ki-ok and key executives participating, revealing future strategies and visions following its transfer listing on KOSDAQ.

Founded in 2006, Genolution is a company that develops in vitro diagnostic medical devices centered on molecular diagnostics and sells RNA interference (RNAi) synthesis services. It was listed on the KONEX market in 2015. Since then, it has pursued a transfer listing to KOSDAQ through the growth potential special system and received an A-grade evaluation from eCredible earlier this year.

Currently, due to the COVID-19 pandemic, virus and RNA extraction specialized technologies are gaining attention. Genolution develops and sells nucleic acid extraction products that enable the detection of pathogens by extracting DNA or RNA from human-derived materials in its core in vitro diagnostic business. With the spread of COVID-19, the inspection time of Genolution’s nucleic acid extraction equipment has been shortened compared to existing devices, leading to increased exports as the company’s equipment is used not only domestically but also overseas for virus RNA extraction.

Genolution’s automated nucleic acid extraction equipment for extracting RNA of the COVID-19 virus is the ‘Nextractor® NX-48,’ which can process 48 samples within 15 minutes. Currently, the most commonly used nucleic acid extraction equipment in the global market can process 96 samples in 60 minutes, making it less efficient compared to Genolution’s product.

Genolution recorded sales of 3.3 billion KRW in the first quarter of this year, which corresponds to 83.6% of last year’s total sales of 3.9 billion KRW. Since the first quarter, orders for nucleic acid extraction equipment have been increasing explosively. The company expects this year’s sales to reach 29.5 billion KRW, the highest in its history, as the market share of nucleic acid extraction equipment increases, proportionally boosting sales of nucleic acid extraction reagents.

CEO Kim Ki-ok of Genolution said, "We are confident in significant external growth this year through the expansion of sales driven by in vitro diagnostic medical devices centered on molecular diagnostics and COVID-19." He added, "With more than 30% of our total workforce composed of research and development (R&D) personnel, we will continue R&D efforts to become a global leader in the genetic field."

Genolution’s planned public offering price is between 12,000 and 14,000 KRW per share, with 800,000 shares to be offered, amounting to 9.6 to 11.2 billion KRW. Demand forecasting is being conducted for domestic and foreign institutional investors from the previous day until today. After subscription on the 14th and 15th, the company is scheduled to be listed on the KOSDAQ market on the 24th.