Daejin Advanced Materials, which entered the KOSDAQ market, is soaring compared to the public offering price on its first day of listing. Leveraging its listing, Daejin Advanced Materials plans to apply its material technology to various industries including clean mobility, medical devices, and aerospace, in addition to secondary batteries. The company expects the role of lightweight materials and composite materials with enhanced electrical and electronic functions to grow significantly.
As of 9:17 AM on the 6th, Daejin Advanced Materials is trading at 18,810 KRW, up 109.0% from the public offering price.
Founded in 2019, Daejin Advanced Materials has succeeded in vertically integrating three major molding processes?vacuum, extrusion, and injection?along with proprietary carbon nanotube (CNT) surface modification technology. The company demonstrates overwhelming mass production responsiveness tailored to customer needs. Its main products include secondary battery process materials such as ▲anti-static trays and ▲PET release films. It has recorded explosive growth by providing customized solutions from global production bases in the United States, Poland, and the Philippines.
The funds raised through the KOSDAQ listing will be used for ▲expansion of production facilities at the North American subsidiary and ▲research and development (R&D) for entering the CNT conductive material market. In accordance with a support agreement with the Tennessee state government, construction of a second plant is underway, with plans to expand into Georgia, Arizona, and other new locations. To enter the new CNT conductive material market, the company signed a joint venture main contract with Sangdong Dajan Nano Materials in March last year with an IRA FEOC avoidance shareholding ratio. They plan to establish a mass production system in the United States.
As a result of demand forecasting targeting domestic institutional investors, the public offering price was set at 9,000 KRW. A total of 1,796 institutions participated in the demand forecast, recording a final competition rate of 577 to 1.
Daejin Advanced Materials recorded sales of 88.9 billion KRW and operating profit of 5.9 billion KRW last year, representing increases of 38% and 498%, respectively, compared to the previous year.
In January of this year, the company preliminarily reported sales of 8.8 billion KRW and operating profit of 1.3 billion KRW. The company explained that profitability is improving as factory operating rates and yields stabilize.
Hyunjin Oh, a researcher at Kiwoom Securities, analyzed, "High profitability improvement was observed in the January performance this year," adding, "This is understood to be due to the stabilization of factory operating rates and yields." He further stated, "Sales are expected to increase by more than 60% compared to the previous year," and added, "The company maintains a dominant position in products for major domestic customers."
Researcher Oh explained, "There may be concerns about growth slowdown due to the secondary battery front market and chasm when evaluating corporate value," but added, "Key products are those that require periodic replacement within existing processes, so the related impact is limited." He also expressed expectations, saying, "There is high visibility for mid- to long-term growth through expanding order volumes via global production bases and full-scale entry into the CNT conductive material and ESS markets."
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