[IPO Spotlight] RaemongRaein Rides K-Content Popularity to KOSDAQ Transfer

[Asia Economy Reporter Hyungsoo Park] As the popularity of K-content spreads worldwide through the online video service (OTT) Netflix, content production company Laemmong Laein is moving from the KONEX market to the KOSDAQ market. The funds raised will be used to secure intellectual property rights (IP) for dramas with high box office potential.

According to the Financial Supervisory Service's electronic disclosure system on the 30th, Laemmong Laein will issue 1.2 million new shares to raise at least 13.8 billion KRW. The proposed public offering price range is set between 11,500 and 13,000 KRW. From the 2nd to the 3rd of next month, a two-day demand forecast will be conducted targeting institutional investors, and the final public offering price will be confirmed.

Founded in 2007, Laemmong Laein has produced dramas such as "Sungkyunkwan Scandal," "Extraordinary You," and "Hospital Playlist." The largest shareholder is Wysiwyg Studios, a computer graphics (CG) and visual effects (VFX) company, holding a 25.26% stake. After listing, the shareholding ratio will decrease to 20.17%.

Laemmong Laein plans to use the raised funds as production operating capital to secure drama IPs. With the emergence of global OTT platforms, independent producers like Laemmong Laein have increasing opportunities to engage in profitable businesses. Laemmong Laein views this as a chance to evolve from a domestic drama production company into a global content producer creating content loved worldwide.

CEO Dongrae Kim of Laemmong Laein is an expert who understands the importance of IP better than anyone in the rapidly changing content production environment. Kim believes that in the domestic drama content production industry, securing IP and the importance of new writers with fresh ideas will be emphasized. "Sungkyunkwan Scandal," which utilized its own IP, has generated additional revenue since its broadcast in 2010.

Based on its past experience producing numerous dramas recognized for both commercial success and artistic quality, Laemmong Laein has planned to produce creative video content and profitable dramas. With plans to produce more than six works next year, some productions are preparing to directly enter overseas markets.

The role of the largest shareholder is also expected to grow as Laemmong Laein expands. The largest shareholder of Wysiwyg Studios is Com2uS. Laemmong Laein is included in a corporate group consisting of Com2uS Holdings (formerly Gamevil), which has strengthened its holding company nature, along with four listed companies and 30 unlisted companies. Various measures to enhance business synergy among affiliates are being discussed. Com2uS’s overseas network can assist Laemmong Laein in expanding internationally.

As of the end of the third quarter this year, Laemmong Laein’s debt ratio stands at 76.20%, maintaining a stable level compared to the industry average of 129.58%. It is expected that financial stability will be strengthened through capital increase via listing on the KOSDAQ market.

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