[Featured Stock] MotiveLink with No Overhang Concerns... Targeting Space and Defense with Advanced Power Conversion Technology

Motivelink, a leading company in eco-friendly power conversion solutions, is showing strong performance compared to its IPO price on the first day of listing. The high shareholding ratio of 66.64% by the largest shareholder after listing, along with the relatively low volume held by venture capital (VC) investors, appears to reduce the overhang burden.

As of 9:26 a.m. on the 20th, Motivelink is trading at 16,230 KRW, up 170.50% from the IPO price.

Motivelink recorded a demand forecast competition rate of 1,075.5 to 1 targeting domestic and international institutional investors. The IPO price was set at the upper end of the desired range, 6,000 KRW.

Founded in 1977, Motivelink provides a one-stop total solution for building electrification power conversion systems. The company develops core components of power converters such as transformers, filters, inductors, and reactors. It has established itself as the only domestic company capable of performing the entire process from design and verification to mass production of power conversion systems. Based on cooperation with Hyundai Mobis, it supplies key power conversion components for hybrid and electric vehicles, securing strong competitiveness in the eco-friendly vehicle electronic components market. After listing, the largest shareholder holds a 66.64% stake.

Junhyung Park, a researcher at SK Securities, explained, "Based on trust in quality and stability, Motivelink holds the largest domestic mass production references with various clients such as Hyundai Mobis, Hyundai Kefico, and Hyundai Transys." He added, "Its market share at Hyundai Motor and Kia is around 80%." He continued, "The lock-in effect from the electrification parts development and mass production process, which takes over 20 years, has built a strong entry barrier." He further stated, "Leveraging its competitiveness, the company aims to secure business competitiveness through modularization of existing component units such as power converters (ICCU), electromagnetic interference filters, and connectors, and to leap from a simple parts supplier to a module supplier."

Researcher Park said, "In the case of the electromagnetic interference filter module, we are working with Hyundai Mobis to reduce costs and improve production efficiency." He added, "Production capacity and preparation stages are already in place, and the outline is expected to be revealed in the second half of this year or early 2026."

Motivelink recently made a full-scale entry into the aerospace market by supplying key components for SAR satellite systems. SAR (Synthetic Aperture Radar) is a radar system that uses radar from the air to reliably observe land and sea day and night and in adverse weather conditions, collecting image data. It is utilized in security and various industrial fields.

Motivelink announced yesterday that it will supply key components for the EQM development product based on independent technology for the SAR satellite constellation system being developed by Company H. As part of building the SAR satellite constellation system to respond to future security environment changes, Motivelink plans to expand its position in the satellite power conversion market through this opportunity.

The small SAR satellites applied in the project are designed with an integrated body and payload, significantly reducing size and volume compared to existing satellites. Multiple satellites can be simultaneously loaded onto a single launch vehicle, which is an advantage.

Motivelink will supply key components of the DC-DC converter responsible for satellite power supply. The component design has been completed to ensure stable performance even in the special environment of satellites. A Motivelink official said, "We have been jointly developing with the client for two years to develop components that can secure maximum performance and reliability even in satellite environments." He added, "Taking this order as an opportunity, we plan to secure new technological competitiveness by entering the satellite power conversion component market and accelerate component development in special fields such as defense."

Jongseon Park, a researcher at Eugene Investment & Securities, analyzed, "The company is pursuing entry into new industries such as aerospace industries including satellites and drones." He added, "The freely tradable shares after listing account for 28.9% of the total shares, which is not a burdensome level."

Changhee Lee, a researcher at Samsung Securities, explained, "Currently, the company is diversifying its supply by entering related fields such as the aerospace industry as well as the automotive sector." He added, "The risk due to the electric vehicle chasm is expected to be limited."