Declaring a Leap to 'Global Top Tier' with Genome Diagnostic Technology
Ki Changseok, CEO of GC Genome, is speaking at the IPO briefing held on the 23rd at Conrad Seoul in Yeouido, Seoul. Photo by GC Genome
"The demand for genome-based diagnostics, including our multi-cancer early detection test 'iCancerCH', is seeing explosive growth both domestically and internationally. By 2028, we expect to achieve sales of 70 billion KRW."
This is according to Ki Changseok, CEO of GC Genome, a clinical genomics analysis subsidiary of GC Green Cross. Ahead of its KOSDAQ listing scheduled for June 11, the company held an IPO press conference on May 23 at Conrad Seoul in Yeouido, Seoul. GC Genome has positioned its multi-cancer early detection test 'iCancerCH' and its prenatal screening test 'G-NIPT' as two main pillars, presenting a vision to become a global leader in the liquid biopsy-based precision medicine market.
Since its establishment in 2012, GC Genome has developed more than 300 genome-based diagnostic services, currently supplying them to over 900 hospitals and clinics nationwide. The non-invasive prenatal test 'G-NIPT', which detects fetal chromosomal abnormalities from maternal blood, holds the top market share among major university hospitals in Korea. Its AI-based analysis technology, 'G-PrEMIA', is notable for doubling the positive predictive value and reducing the false positive rate by over 90%.
In the field of cancer early detection, 'iCancerCH' is the flagship product. Using just 10 mL of blood, it can simultaneously screen for more than six major cancers. It offers superior performance, with a sensitivity of 82.2% and specificity of 96.2%, while being more affordable than domestic and international competitors. Since its initial launch in Korea in September last year, the number of tests surpassed 1,000 in the first quarter of this year alone, demonstrating rapid growth.
Ki Changseok emphasized, "Unlike traditional genome analysis companies, GC Genome is a technology-driven company that develops and commercializes tests that can be directly applied in clinical settings. In particular, we are focusing on high value-added tests and targeting the premium market centered on university hospitals, thereby securing both profitability and credibility."
The company has already begun full-scale entry into the Japanese regenerative medicine clinic market and is preparing to launch LDTs (laboratory-developed tests) targeting lung cancer in the United States. Ki Changseok stated, "Insurance coverage is key to entering the US market, so we plan to achieve phased milestones and technology transfer revenue through our local subsidiary, Zenith Health."
In the first quarter of this year, GC Genome posted sales of 6.8 billion KRW and net profit of 200 million KRW, marking its highest-ever quarterly performance. Annual sales in 2023 were 27.3 billion KRW, and this year, the company is targeting over 70 billion KRW, driven by rapid growth in both existing tests and core technology products. The company explained, "We expect an operating margin of up to 39%, and we aim to establish a stable profit base by expanding R&D and global market entry."
The funds raised through the IPO will be used for: ▲ advancing technology for expanding cancer types, prognosis prediction, and recurrence monitoring; ▲ additional global market entry in Southeast Asia and the Middle East; and ▲ facility investments such as the introduction of NGS (next-generation sequencing) equipment. In particular, the company plans to reduce testing costs and expand the market simultaneously by converting to low-cost, high-efficiency testing equipment.
Through this IPO, GC Genome will offer a total of 4 million shares, with the desired offering price ranging from 9,000 to 10,500 KRW per share. The demand forecast will take place from May 19 to May 23, general subscription will be held from May 29 to May 30, and the scheduled listing date is June 11. The lead underwriter is Samsung Securities.
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