SBV Tech Sets IPO Price at Top End 12,400 Won... General Subscription on 5th-6th

Demand Forecast Competition Ratio 1644 to 1
Public Subscription for General Investors on 5th-6th, Listing on 17th

[Asia Economy Reporter Kwangho Lee] SBV Tech announced on the 5th that it has set the public offering price at the top of the desired band, 12,400 KRW. SBV Tech will be listed on the KOSDAQ market on the 17th.

During the institutional investor demand forecast conducted on the 28th and 29th of last month, 1,710 institutions participated, recording a competition rate of 1,644.01 to 1. All participating institutional investors, except those who did not submit a price, offered prices at or above the top of the desired band. Accordingly, the public offering price was set at the top of the desired band (10,100 to 12,400 KRW).

A representative from the lead underwriter Mirae Asset Securities stated, "What institutions focused on during the demand forecast was SBV Tech's unique technological position," emphasizing, "The harmonic reducer is an essential component that typically accounts for more than 30% of the cost of robots. Currently, most of these are imported from Japan, but SBV Tech is the only company in Korea that possesses technology equivalent to that of Japan."

After listing, the company plans to use the public offering funds to establish a production line optimized for full-scale mass production and to automate the factory. Through this, it aims to expand sales and improve profit margins.

The company expects that from next year, the technological investments made so far will bear fruit and turn profitable. It also targets sales of 43 billion KRW and an operating profit margin of over 22% in 2024.

Ryu Jaewan, CEO of SBV Tech, said, "We are grateful for the interest of institutions that positively evaluated SBV Tech's growth potential," adding, "We will strive not only in technology development but also in expanding sales, securing a diverse product line, and growing into a global technology company active in domestic and international markets."

SBV Tech plans to conduct subscription for general investors over two days on the 5th and 6th, and then list on the KOSDAQ market on the 17th of this month. Through this listing, 1.8 million shares will be offered, and the expected market capitalization after listing is approximately 73.7 billion KRW.