[Post-IPO] Wontec, 'Oligio' US FDA Approval is Just the Beginning... Targeting the Global Market

[Asia Economy Reporter Jang Hyowon] The representative product of Wontec, a specialized skin beauty device company, ‘Oligio,’ has opened the door to overseas exports by receiving approval from the U.S. Food and Drug Administration (FDA). Wontec plans to target regions favorable to FDA certification, including South America, Africa, the Middle East, and Japan, starting with the United States.

Wontec is a laser medical device specialist company that entered the KOSDAQ through a SPAC merger in June. Its main products include ‘Oligio,’ which uses Monopolar Radio Frequency (Monopolar RF) technology, high-power picosecond Nd:YAG laser devices ‘Picocare’ and ‘Laviang,’ and the high-intensity focused ultrasound medical device ‘Titan.’

As of the first half of this year, the sales proportion by product is 20.1% for Oligio, 17% for Picocare, 15.7% for Laviang, 23% for consumables, and 24.2% for others.

Oligio is a facial lifting treatment device developed by Wontec, the second in the world and the first in Korea. It is used for skin regeneration and lifting and has currently received certifications in Korea, the United States, and Taiwan. Since its initial development in 2020, 700 units have been sold domestically, and after receiving approval in Taiwan last August, 50 units were sold in that month alone.

Researcher Kim Doyeop of ResearchAlum stated, “Oligio obtained FDA approval on the 14th, and considering the case in Taiwan, it is expected that more than 50 units of the device can be sold in the U.S. in 2023.” Considering the domestic sales price of Oligio is 55 million KRW per unit, this amounts to approximately 2.75 billion KRW.

Researcher Kim explained, “Due to the nature of medical device equipment, the number of units sold is not explosive in the early years, but equipment sales tend to increase depending on patient responses after the introduction of the devices.”

Additionally, as the cumulative sales volume of Oligio increases, sales of consumables also rise. Oligio requires essential consumable tips, which generate periodic consumable sales alongside equipment sales, making it possible to secure stable performance.

Wontec plans to target South America, Africa, Japan, and the Middle East following the U.S. FDA approval. These countries tend to positively evaluate products with FDA approval, so obtaining approval is expected to be relatively easier.

Moreover, Wontec already has experience pioneering and expanding overseas markets. In fact, the laser device ‘Laviang,’ despite domestic demand stagnation after more than 10 years since its launch, has shown high growth, surpassing 300 cumulative sales units in Brazil in the first half of this year. Wontec’s export sales proportion in the first half of the year also exceeds domestic sales.

Therefore, Wontec’s performance next year is also expected to be promising. According to ResearchAlum, Wontec’s projected sales for this year are 90.3 billion KRW, and operating profit is 25 billion KRW, representing increases of 76.7% and 140.4%, respectively, compared to the previous year. This is the highest performance since Wontec’s founding.

Researcher Kim said, “Sales of Oligio are expected to increase in Taiwan, and with FDA approval enabling entry into the U.S. market, which accounts for more than 30% of the global medical market, we have set Wontec’s target stock price at 4,100 KRW.”