Seong Juwan Director "Time to Sow Seeds... Expanding Pre-IPO Investment"

Sung Joo-wan, Head of Future Asset Securities Headquarters

Targeting a turnaround in the second half with unicorn special listing 'Socar'

Looking to reverse the mood in the second half

[Asia Economy Reporter Park So-yeon] "We are expanding pre-IPO (pre-listing equity investment) investments through a contrarian approach." Amid a challenging market atmosphere where big IPO deals are being postponed due to the stock market downturn, Sung Joo-wan, head of the IPO division at Mirae Asset Securities, said they are actively investing for the future.

On the 11th, at the Mirae Asset Center One Building in Jung-gu, Seoul, Sung said, "The first half was difficult as major listings like Hyundai Engineering were postponed. However, during such times, we have been quietly securing solid small and mid-sized deals and discovering promising companies before their listing to make staged investments, especially pre-IPO investments." He added, "We are spending this period sowing seeds by persuading good companies to prepare for IPOs and discovering and investing in promising early-stage companies."

Despite sluggish large IPOs, they have steadily proceeded with small and mid-sized deals, boosting their IPO underwriting performance. In the first half of this year, Mirae Asset Securities consistently handled small and mid-sized deals such as Auto&N, Narae Nanotech, Gonggu Woman, 4by4, and Voronoi. Notably, they successfully brought Voronoi, the first unicorn (company valued over 1 trillion KRW) special listing company, to the stock market. Compared to last year, when they underwrote 21 listings mainly involving mid-to-large deals like SK IE Technology, SoluM, and NeoImmuneTech, the scale of deals they have managed this year is somewhat smaller.

However, they are aiming for a turnaround in the second half. There is especially high anticipation for 'Socar,' which is preparing for listing next month. Socar is the second unicorn special listing company following Voronoi. Sung said, "There is a lot of market interest because it is a unicorn listing, and Socar’s success could pave the way for other platform companies waiting in line, such as Zigbang, Musinsa, and Today’s House." He added, "Market expectations and concerns are mixed." He emphasized, "Listing companies that have not yet achieved stable profits has provided an opportunity to understand the Korea Exchange (KRX)’s listing review and investors’ points of interest. We have gained know-how in this process for the first time in the industry."

Following Socar, listing procedures for Olive Young, LG CNS, and SSG.com are also underway. He said, "When the market atmosphere recovers, good companies will definitely have opportunities again. I am advising clients to prepare meticulously during times like these." He added, "Companies that go public when the market sentiment is not very good often become happier listings for investors, companies, and underwriters after a short time compared to those that list at the market peak."

Meanwhile, born in 1972, Sung Joo-wan began his career at Daishin Securities and has built his career solely in the IPO field. Through Daewoo Securities and Mirae Asset Daewoo, he successfully closed major deals including Celltrion Healthcare, Lotte Information & Communication, Studio Dragon, Jin Air, SK Bioscience, SK IE Technology, Krafton, and Hyundai Heavy Industries.

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