HLGenomics, an active pharmaceutical ingredient (API) manufacturer, is conducting a public subscription for Korean stocks on July 13-14. The company, founded in 2000, specializes in developing and producing high-value APIs through proprietary chemical synthesis technology. This subscription is part of HLGenomics' KOSDAQ listing process, targeting an expected market capitalization of approximately 167.3 billion won. The offering follows a demand forecast conducted from July 2-8, which attracted 2,148 institutional investors. Korea's IPO market for the third week of July (July 13-17) features this single offering from the pharmaceutical raw materials sector.
HLGenomics Records 714.5:1 Competition Ratio in Institutional Demand Forecast
According to the financial investment industry on July 12, HLGenomics completed its institutional demand forecast from July 2-8. A total of 2,148 domestic and international institutional investors participated, resulting in a competition ratio of 714.5 to 1. However, long-term investment commitment remained low, with approximately 4% of participating institutions pledging not to sell shares for at least 15 days after listing. This represents the lowest commitment level since Stradvision's early June demand forecast, which recorded 2.77%.
NH Investment & Securities researchers Oh Se-beom and Kang Chang-yeop noted that HLGenomics maintains a substantial product portfolio covering chronic disease treatment areas directly linked to modern society's aging trend, including cardiovascular, respiratory, musculoskeletal, and neurological systems, securing high stability in forward demand.
Offering Price Set at 21,500 Won with 55.1 Billion Won Total Raise
The number of shares offered is 2.565 million, with the offering price confirmed at 21,500 won, the upper end of the proposed range. The total expected offering amount is 55.1 billion won. The expected market capitalization is approximately 167.3 billion won. KB Securities serves as the lead underwriter for the listing, with IBK Investment & Securities as co-underwriter.
KOSDAQ Listing Scheduled for July 24 with Factory Expansion Plans
If the listing process proceeds as scheduled, HLGenomics is set to list on KOSDAQ on July 24. The company plans to allocate the entire amount of public offering funds to the expansion of its second factory. Through factory expansion, HLGenomics aims to strengthen supply stability for its existing API business and expand the foundation for new businesses such as vaccine microneedle operations.
Analysts Highlight Supply Stability and Overseas Sales Potential
DB Securities researcher Lee Myeong-seon stated that the potential for customer diversification and increased overseas sales following the second factory expansion is evaluated as promising. However, Lee noted that if overseas sales do not increase meaningfully and customer diversification proves difficult, resulting in slow capacity utilization of the second factory, upward momentum for the stock price will be limited.
FAQ
What is HLGenomics' public subscription schedule for Korean stocks?
HLGenomics is conducting a public subscription on July 13-14, targeting a KOSDAQ listing on July 24.
How much capital is HLGenomics raising through its IPO?
HLGenomics is raising a total of 55.1 billion won by offering 2.565 million shares at 21,500 won per share, with proceeds allocated entirely to second factory expansion.
