Wingip Food, which is pursuing entry into the US Nasdaq market, announced on the 7th that the listing date has been postponed from the original June 17 to July 30.
However, the company explained that this is only due to differences in disclosure regulations between Korea and the US, and is not an issue with the Nasdaq listing itself.
A Wingip Food representative stated, “We need to proceed with disclosures according to both Korean and US disclosure regulations, and due to the announcement of the Q1 earnings and business report in Korea, we must update the Q1 data in the US Securities and Exchange Commission (SEC) filings and resubmit the F-1.”
They added, “Although Q1 announcements are not mandatory in the US, when related materials are submitted in Korea, the US accounting firm also requires submission of the Q1 review report. This delay in the listing schedule is solely due to the Q1 review report and the correction work for the F-1 to be submitted to the US SEC, and there are no other reasons.”
Furthermore, they emphasized, “Rather, through the delayed schedule, we are increasing the accuracy of demand forecasting and encouraging long-term investment by utilizing the cornerstone investor system to make contacts. We plan to secure nearly 50% of the public offering quantity in advance, focusing on increasing the likelihood of listing.”
The cornerstone investor system is a mechanism in the IPO process where the issuer and underwriter attract investors before submitting the securities registration statement and allocate a portion of the public offering shares. Large institutional investors commit to a certain amount of long-term investment (lock-up) without knowing the public offering price before the sale of public shares, and in return, they receive a guaranteed allocation of public shares.
In fact, during the 2018 IPO of Chinese home appliance company Xiaomi, a large cornerstone investment by global semiconductor company Qualcomm helped guide investment decisions of general investors. Many Chinese companies listing in the US have successfully completed IPOs by utilizing the cornerstone investor system.
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