[IPO] HYTC "Becoming a Leading Global Secondary Battery Equipment Ultra-Precision Parts Company"

Jodongseok, CEO of HYTC.

[Asia Economy Reporter Jang Hyowon] HYTC, a manufacturer of ultra-precision parts for secondary battery equipment, is knocking on the door of the KOSDAQ market. HYTC plans to boost sales through notching molds after listing.

On the 21st, Cho Dongsuk, CEO of HYTC, held a press conference in Yeouido, Seoul, stating, “The company is recognized for its long-standing know-how and differentiated technology in the ultra-precision parts market, a critical factor directly linked to secondary battery quality,” and added, “Through listing on KOSDAQ, we will enhance corporate awareness and credibility and leap forward as a company providing the highest quality ultra-precision parts in the global secondary battery market.”

Founded in 2005, HYTC primarily operates in manufacturing ultra-precision parts for secondary battery manufacturing equipment. The company initially focused on precision mold business to advance its technology and began full-scale production of secondary battery parts in 2015. Currently, it produces ultra-precision parts for most equipment used in the electrode plate and assembly processes, excluding the formation process in secondary battery manufacturing, and is expanding its product lineup through continuous technological development.

As secondary battery manufacturers actively establish overseas factories, the company is expanding its global network through aggressive overseas expansion. It has established overseas subsidiaries in Poland, Nanjing (China), and Ohio (USA), building global bases in Europe, Asia, and the Americas. The company is securing new global customers through aggressive sales activities and plans to gradually increase its global market share.

HYTC recorded sales of 35.7 billion KRW, operating profit of 7.3 billion KRW, and net profit of 7.4 billion KRW last year. Compared to the same period last year, sales grew by 57.7%, operating profit increased by 71.74%, and net profit rose by 105.5%. In the first quarter of this year, sales were 9.5 billion KRW, operating profit was 2 billion KRW, and net profit was 2.1 billion KRW.

HYTC produces ultra-precision parts required for most equipment used in the slitting process of the electrode plate process and the assembly process, excluding the formation process in secondary battery manufacturing.

In the electrode plate process, the company produces ultra-precision parts used in the slitting stage. Representative products include the ‘KNIFE UNIT,’ which cuts electrodes to fit battery size, the ‘KNIFE SPACER,’ which determines the cutting specifications of the electrode plate, and the ‘PX-SHAFT,’ which winds the electrode plate into a single roll with consistent tension.

The ‘KNIFE UNIT’ and ‘KNIFE SPACER,’ which succeeded in technology localization, are products that improved straightness by more than three times compared to existing products through the company’s proprietary technology. The 6-inch ‘PX-SHAFT’ is a part that the company was the first to mass-produce, doubling production capacity compared to the existing structure.

To respond to the rapidly changing secondary battery market, HYTC has jointly developed notching molds, which are precision press molds that create electrode plates by stamping the tab-shaped and side parts of both anode and cathode batteries, with major manufacturers. The company has recruited professional engineers to independently develop products with high quality and convenience. Currently, the company has completed equipment performance testing and is preparing for mass production through the establishment of a second factory. It plans to build specialized mold production facilities to promptly respond to customer demand and increase sales through notching molds.

Cho Dongsuk, CEO of HYTC, emphasized, “In response to the rapid growth of the global secondary battery market, we will lead the ultra-precision parts industry through proactive technology development,” and added, “Through listing on KOSDAQ, we will further solidify our global supply bases and diversify our customer portfolio to leap forward as a world-class company.”

Meanwhile, HYTC’s total number of shares offered is 2.26 million, all newly issued shares. The desired public offering price range per share is 13,000 to 15,000 KRW, with an expected offering amount of 29.4 billion to 33.9 billion KRW. The funds raised through the offering will mainly be used for facility and equipment investment to expand production capacity, establishment of production facilities for the new ‘notching mold’ business, and the establishment of overseas subsidiaries.

HYTC plans to finalize the public offering price after demand forecasting by the 22nd, conduct general public subscription on the 28th and 29th, and list on the KOSDAQ market in August. The lead manager for the listing is Shin Young Securities, with Eugene Securities and Hyundai Motor Securities participating as underwriters.

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