Korea's Global Technology cuts IPO price, raising $29 million on Kosdaq
What's the deal? Global TechnologyDealroom has a profile for this one. Try Dealroom →, a South Korean fabless chip designer, set its final IPO price at US$8.38 per share, below its target range, the company said on September 15. The offering raises US$33.5M (roughly $29 million), with an expected market capitalisation of about US$164.7M.
Why the discount? The final price came in as much as 33.3% under the company's hoped-for band of US$10.9 to US$12.6. Global Technology said it wanted to reflect "the weakened IPO market and investors' more cautious sentiment," prioritising "medium- to long-term trust with investors" over a short-term listing splash (translated from Korean).
Behind the numbers. A five-day institutional demand forecast running September 7 to 11 drew 961 domestic and foreign institutions, producing a subscription rate of 123.19 to 1.
What's the endgame? Global Technology designs LED driver integrated circuits (ICs) and also supplies modules such as backlight units. Though a fabless firm, it operates a micro-LED pilot line in Pyeongtaek, serving TV and monitor customers while expanding into automotive LEDs.
What led up to it? The company cleared Kosdaq's preliminary listing review in July under the technology special listing route. Subscriptions run September 16 to 17, with the debut set for September 29. Proceeds through 2028 will fund wafer costs, research and development, and a micro-LED development line.
The financials. First-half revenue reached US$24.1M, already 97% of last year's full-year total of US$24.9M. The company also swung to a profit of US$968.4K and targets US$142.1M in revenue by 2029.
The signal: Pricing below its own band signals a subdued appetite for new listings, pushing even growing chip designers to trade valuation for a smoother market entry.
Image credit: Generated with Gemini
