Listed on KOSDAQ at 11,000 Won on May 12
Stock Hit 23,700 Won on May 16, Then Entered a Downtrend
Sharp Increase in Tradable Shares After One-Month Lock-Up Expired
Rokit Healthcare, which debuted on the KOSDAQ market last month, has seen its stock price decline for several consecutive days. Concerns over an overhang (potential large-scale sell-off) are weighing on the stock price.
According to the financial investment industry on June 9, Rokit Healthcare's stock price has dropped by 36% since reaching its post-listing high of 23,700 won on May 16. During this period, individual investors recorded a cumulative net purchase of 5 billion won. Due to the stock price decline, their valuation loss rate stands at 25.4%. In contrast, foreign investors and institutional investors have maintained net selling positions of 2.5 billion won and 2.2 billion won, respectively.
Founded in 2012, Rokit Healthcare is a developer of AI-based ultra-personalized organ regeneration platforms. The company has developed technologies such as automated wound modeling using AI and medical 3D bioprinters for customized patch production. Clinical trials are underway to validate the efficacy of its organ regeneration platform. Rokit Healthcare has established technological entry barriers through the registration and application of 165 domestic and international patents.
Kang Sion, a researcher at Korea Investment & Securities, stated, "The company plans to expand the number of countries where its organ regeneration platform is commercialized to 72 by 2027," adding, "Rokit Healthcare will broaden its application scope beyond the currently commercialized diabetes foot-focused skin regeneration to include skin cancer, cartilage, and kidney regeneration."
The company is securing growth potential based on its technological capabilities. Rokit Healthcare is expediting the launch of 'Epitem-2,' a 3D-printed model based on human cells that can replace animal testing. This artificial skin model implements both the epidermis and full-thickness layers using 3D bioprinting technology. It can substitute for toxicity and efficacy tests needed for the development of cell therapies and cosmetics.
The U.S. Food and Drug Administration (FDA) has announced a roadmap to gradually reduce animal testing in drug development and safety assessment, and to expand human-centered testing methods (NAMs) to promote animal welfare. This is why the use of artificial skin for corrosivity and irritation assessments, absorption and permeability tests, and allergenicity checks is drawing attention.
Despite high growth expectations, the reason Rokit Healthcare's stock price continues to fall appears to be a sharp increase in shares available for sale after one month of listing. According to Eugene Investment & Securities, the proportion of Rokit Healthcare shares available for trading rises from 36.3% on the listing date to 70.12% after one month.
General investors had been concerned about Rokit Healthcare's overhang even before the listing. The public offering subscription recorded a competition ratio of 80 to 1, with a deposit of only 8.62 billion won. After listing at an offering price of 11,000 won, the stock rose to 23,700 won within five trading days, suggesting that growth prospects were in the spotlight rather than overhang concerns. However, as the expiration date of the one-month lock-up period approached, the stock price declined. The financial investment industry expects that the stock will enter a rebound phase based on its growth potential only after overhang concerns are resolved.
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