Listing on KOSDAQ on the 30th after general subscription on the 20th-21st
Second trillion-scale market cap this year, 2nd largest IPO after LG Energy Solution
[Asia Economy Reporter Kwangho Lee] WCP, a specialized company in secondary battery separators preparing for a KOSDAQ listing, conducted a demand forecast for institutional investors on the 14th and 15th of this month and finalized the public offering price at 60,000 KRW.
According to KB Securities and Shinhan Investment Corp., the lead managers of WCP’s listing, a total of 759 domestic and international institutions participated in the demand forecast, recording a competition rate of 33.28 to 1.
A representative from the lead managers explained, “Despite most institutional investors participating with actual demand due to the sluggish IPO market conditions and concerns about overallotment, the participation volume reached 179,727,893 shares, and the participation amount recorded 12 trillion KRW.”
Unlike companies that were considered major IPO candidates this year but decided to withdraw after the demand forecast, WCP is determined to complete its IPO with a market-friendly public offering structure. If WCP is listed, it will become the second company this year to succeed in listing with a market capitalization in the trillion KRW range based on the public offering price, following LG Energy Solution. The scale of the public offering is also the second largest after LG Energy Solution.
Choi Won-geun, CEO of WCP, said, “Although it is regrettable that the finalized public offering price did not reach the desired price, we do not consider it a defeat,” adding, “As a global top-tier secondary battery separator manufacturer, achieving a public offering of over 400 billion KRW is significant due to our core strengths such as the highest operating profit in the domestic industry, overwhelming productivity and operating profit margin compared to competitors, and the efforts of the lead managers. We believe that increasing corporate value after listing is even more important.”
WCP will open general subscription on the 20th and 21st. The total number of public offering shares is 7.2 million, with a total public offering amount of 432 billion KRW based on the finalized price. Approximately 421.6 billion KRW will be raised through the issuance of new shares (97.6%). The company will be listed on the KOSDAQ market on the 30th of this month, with a post-listing market capitalization of approximately 2.0218 trillion KRW based on the public offering price.
The raised funds will be used for expanding production facilities, research and development, and investments to expand the global market. In particular, to strategically respond to the rapidly growing global electric vehicle and battery market, the company plans to focus investments on expanding domestic and overseas production facilities. WCP’s strategy is to become a global leader in the future eco-friendly automobile industry by expanding production capacity (CAPA) and accelerating overseas expansion.
Founded in 2016, WCP is a specialized company developing and producing secondary battery separators used in electric vehicle batteries, with its main product being the second-generation coated wet separator. The headquarters and factory are located in Chungju, Chungcheongbuk-do, and the largest shareholder is W-Scope Corporation, listed on the Tokyo Stock Exchange.
© The Asia Business Daily(www.asiae.co.kr). All rights reserved.
