[This Week's IPO] January Third Week Demand Forecast and Subscription Schedule

[Asia Economy Reporter Jang Hyowon] In the third week of this month (January), Asems and Narae Nanotech will conduct demand forecasting targeting institutional investors. LG Energy Solution, Easytronics, and Skonec Entertainment are preparing for subscription offerings targeting general investors.

◆Asems= Established in 2003, Asems is an eco-friendly adhesive material specialist company. In addition to its flagship eco-friendly adhesive materials, it researches and develops automotive fabrics and adhesive functional coating yarns. Asems holds 54 domestic and international patents and was recognized for its technological expertise by receiving an A grade in technology evaluation from NICE D&B last year.

The total number of shares offered is 2 million, with a desired offering price band of 7,000 to 8,000 KRW. The expected market capitalization after the offering is approximately 77.1 billion to 88.2 billion KRW. Demand forecasting for institutional investors will be held on the 17th and 18th, and subscription for general investors will take place on the 24th and 25th. The lead underwriter is Korea Investment & Securities.

◆Narae Nanotech= Narae Nanotech’s core technologies include ultra-precision coating, curing, and module lamination technologies. Its main businesses include ▲ photoresist precision coating equipment for OLED photolithography processes ▲ precision lamination equipment that attaches cover glass and OLED panels in module processes ▲ polyimide coating and curing equipment for flexible OLED manufacturing.

The total number of shares offered is 3.1 million. The expected offering price is between 17,500 and 20,500 KRW, with a total expected offering amount of 54.3 billion to 63.6 billion KRW. Demand forecasting will be conducted over two days on the 17th and 18th, followed by subscription on the 24th and 25th, with a planned listing on the KOSDAQ market in February. The lead underwriter is Mirae Asset Securities.

◆LG Energy Solution= LG Energy Solution’s offering price was set at the top of the desired range (257,000 to 300,000 KRW) at 300,000 KRW. The competition rate was 2,023 to 1, marking the highest demand forecasting record in the history of the KOSPI IPO market. The total order volume reached 1,520.3 trillion KRW. The ratio of lock-up agreement applications, where shareholders agree not to sell shares for a certain period (15 days to up to 6 months), was also high at 77.4%.

The final number of shares offered by LG Energy Solution is 42.5 million, with a total offering size of 12.75 trillion KRW. The market capitalization after listing is estimated at 70.2 trillion KRW based on the confirmed offering price. Subscription for public shares will be held over two days on the 18th and 19th. Subscriptions can be made through KB Securities, Daishin Securities, Shinhan Investment Corp., Mirae Asset Securities, Shin Young Securities, Hana Financial Investment, and Hi Investment & Securities. The listing date is scheduled for the 27th.

◆Easytronics= Easytronics, a company specialized in customized power conversion devices, conducted demand forecasting targeting institutional investors on the 13th and 14th. Preparing for a “SoBuJang (Materials/Parts/Equipment) Special Listing,” Easytronics plans to offer a total of 1.98 million shares with a desired offering price range of 19,000 to 22,000 KRW. The expected market capitalization after listing is 150.5 billion to 174.2 billion KRW. Subscription for general investors will be held on the 20th and 21st. The lead underwriter is NH Investment & Securities.

The power conversion devices produced by Easytronics are essential components used in electric vehicles, 5G relay stations, and ESS (Energy Storage Systems). In particular, the converters and inverters for large electric and hydrogen vehicles, which Easytronics mainly develops and manufactures, have secured a high market share even in a dynamically changing market.

◆Skonec Entertainment= Skonec Entertainment, which develops and operates virtual reality content, conducted demand forecasting targeting institutional investors on the 13th and 14th. The desired offering price band is 9,000 to 11,000 KRW. The expected offering amount is 20 billion to 24.5 billion KRW, with an estimated market capitalization of 88 billion to 107.6 billion KRW. General subscription will be held on the 20th and 21st. The lead underwriter is Shin Young Securities.

Skonec Entertainment has established itself as a virtual reality game developer in the console game market by releasing titles such as Nintendo DS’s “Magic Thousand Character Book,” Nintendo Wii’s “K-POP Dance Festival,” and the world’s first VR gun shooting game “Mortal Blitz.” Currently, it is expanding its business area beyond VR games and content to become a virtual reality solutions company.