HPO Submits Securities Registration Statement... April KOSDAQ Listing

[Asia Economy Reporter Hyunseok Yoo] HPO, owner of the premium health functional food brand 'Denps', announced on the 15th that it has completed the submission of the securities registration statement to the Financial Services Commission and has officially entered the initial public offering (IPO) schedule.

Established in April 2012, HPO has recorded a high average annual sales growth of 54.2% over the past three years through a product differentiation strategy focused on efficacy in the highly competitive health functional food market. Last year, its separate basis sales exceeded 100 billion KRW. The operating profit margin also approached 20% last year, which is the highest level in the same industry.

HPO has accumulated brand loyalty by launching numerous top-tier market products centered on the premium brand ‘Denps’. Representative products include ▲probiotics ‘Denmark Yusangyun Iyagi’ ▲vitamins ‘True Vitamin’ ▲collagen ‘Eorin Collagen Inner Seal’.

It is also showing prominence in overseas markets. In China, it has secured various offline sales channels as well as major online platforms such as Tmall. The ‘High&gogo Denmark organic milk powder’, launched in 2019, is a high-end product that created a new market as a growth functional milk powder for ages 3 to 14, and it has been evaluated as a successful entry into the Chinese market by being listed in ‘Sam’s Club’, the local No.1 membership store operated by Walmart.

In Japan, steady sales are expected through various sales channels starting with home shopping. HPO plans to enter the United States, the world’s largest market, through Amazon. It will launch various products beginning with women’s probiotic products.

Hyunyong Lee, CEO of HPO, said, “We have built not only product planning and development capabilities but also a global sourcing network to launch health functional foods that consumers can directly feel the efficacy of.” He added, “After listing on KOSDAQ, we will expand the awareness of the Denps brand and leap forward as a global health functional food company by strengthening digital marketing and other methods.”

The total number of shares offered by HPO is 3,987,632 shares, and the proposed price band is 22,200 to 25,400 KRW. Demand forecasting for institutional investors will be conducted over two days on the 5th and 6th of next month to finalize the offering price. General subscription will be accepted on the 8th and 9th of the same month. HPO’s scheduled listing date is April 19. The lead underwriter is Daishin Securities.

This content was produced with the assistance of AI translation services.