SK IE Technology, Public Offering Price Set at 105,000 Won

Record High Competition Rate of 1883 to 1 with Participation from 1,734 Institutions
All Participating Institutions Offered Prices Above the Upper Limit of the Public Offering Price
Public Subscription for General Investors on April 28-29... Listing Scheduled for May 11

[Asia Economy Reporter Hyungsoo Park] SK Innovation’s materials business subsidiary SK IE Technology (SKIET) has set its public offering price at 105,000 KRW.

SKIET announced on the 26th that it recorded a demand forecast competition rate of 1,883 to 1 after conducting a demand forecast for institutional investors over two days from the 22nd to the 23rd.

Out of the total 21.39 million shares offered, demand forecasts were conducted for 11.7645 million shares, which corresponds to 55%. A total of 1,734 institutions participated in the demand forecast, including 1,220 domestic institutions and 514 overseas institutions.

The 1,883 to 1 ratio is the highest competition rate ever recorded in demand forecasts for initial public offerings (IPOs) on the KOSPI and KOSDAQ markets. The total order size was approximately 2,417 trillion KRW, surpassing the previous record of 1,047 trillion KRW set by SK Bioscience. With the public offering price set at 105,000 KRW, the total public offering amount reaches approximately 2.246 trillion KRW.

All institutions participating in SKIET’s demand forecast submitted prices exceeding the upper limit of the public offering price range, which was 105,000 KRW. The ratio of mandatory lock-up agreements, where shares cannot be sold for a certain period, also reached 63.2%. Many domestic and foreign institutional investors participating in the demand forecast proposed mandatory lock-up periods of six months or longer.

Jaesuk Noh, CEO of SKIET, said, “Based on our solid position in the battery separator market and the high evaluation of our future sustainable growth, I would like to express my deep gratitude to the institutional investors who participated in the demand forecast. We hope that the strong interest during the demand forecast period will continue into the general public subscription starting on the 28th.”

SKIET’s general public subscription for investors will be conducted over two days from the 28th to the 29th, targeting 5.3475 million shares. The lead underwriters are Mirae Asset Securities and JP Morgan, with co-underwriters Korea Investment & Securities and Credit Suisse (CS). SK Securities, Samsung Securities, and NH Investment & Securities are participating as part of the underwriting consortium. General public subscriptions are available at domestic securities firms except for foreign securities firms JP Morgan and Credit Suisse (CS). The listing is scheduled for the 11th of next month.

SKIET was established in 2019 through a physical division from SK Innovation. It is a global leading materials solution company producing the highest quality lithium-ion battery separators (LiBS). The company operates in the separator business for electric vehicles (EVs) and IT batteries. It also considers flexible cover windows (FCW) for foldable displays and next-generation materials as future new growth engines.

SKIET ranked first in the premium wet separator market last year. Sales volume in the electric vehicle separator business increased by 490% in 2020 compared to 2018. Its production capacity is 1.03 billion square meters, and it continues aggressive investments in Poland, China, and other locations. The production capacity is expected to increase to 2.73 billion square meters in 2024, enough to supply separators for approximately 2.73 million electric vehicles annually.

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