[IPO Spotlight] OpenEdge Technology "Growing into a Global Leading AI Semiconductor IP Design Company"

Number of Public Offering Shares: 3,636,641, Offering Amount: 54.5 Billion to 65.5 Billion KRW
Demand Forecast on September 7-8, Subscription on September 15-16

Sung Hyun Lee, CEO of Open Edge Technology

[Asia Economy Reporter Kwangho Lee] OpenEdge Technology, a company specializing in AI semiconductor IP (intellectual property) design platforms, is accelerating its listing on the KOSDAQ.

On the 7th, OpenEdge Technology held a press conference at the Yeouido 63 Convention Center to announce its plans and strategies related to its KOSDAQ listing.

OpenEdge's total number of shares offered is 3,636,641. The expected public offering price per share ranges from 15,000 KRW to 18,000 KRW, with the total public offering amount expected to be between 54.5 billion KRW and 65.5 billion KRW. Institutional demand forecasting will be conducted from the 7th to the 8th to finalize the offering price. Subsequently, subscription for general investors will take place over two days, on the 15th and 16th. Samsung Securities is the lead underwriter.

OpenEdge is a specialized company that designs and develops AI semiconductor IP based on its proprietary core technologies. Positioned at the forefront of the system semiconductor industry, it pre-develops key functional blocks necessary for AI semiconductor chip design according to market demand. These functional blocks are supplied to semiconductor chip design companies such as fabless firms, design houses, and integrated semiconductor companies.

Typically, mass production of a new semiconductor chip requires funding exceeding 100 billion KRW. To reduce the risk of losses from development failures, the role of verified semiconductor IP that has undergone prior development is crucial. OpenEdge has successfully entered the market early by focusing on the semiconductor IP market and utilizing differentiated design technologies.

In particular, OpenEdge uniquely developed the world’s only “AI semiconductor IP platform” that combines neural processing units (NPU) and memory system IP. Unlike the method of supplying individual IPs, it possesses the technological capability to provide AI semiconductor integrated IP solutions in a turnkey form. Recognizing this technological prowess, OpenEdge received an AA rating in the preliminary technology evaluation from NICE D&B in January, the first in the semiconductor IP industry.

With specialized competitiveness and technological capabilities, OpenEdge has established strategic partnerships with major domestic companies such as Hyundai Motor Company and SK Hynix. Including global top-tier fabless companies, it has signed over 30 license agreements to date. Its revenue structure consists of license fees from supplying semiconductor IP and running royalties per chip produced by customers applying the IP. In the first half of 2022 alone, it achieved 135% of its total sales for 2021, demonstrating rapid growth.

OpenEdge plans to use the funds raised through the listing to invest in business expansion, including R&D of high value-added products such as leading-edge process IP products including 5nm and 4nm, securing specialized IP development personnel, and expanding global bases.

Lee Seonghyun, CEO of OpenEdge, stated, “As the AI semiconductor market grows rapidly, we plan to strengthen our unique growth drivers after listing and make every effort to expand globally and increase sales.” He added, “We will leap forward as a global representative AI semiconductor IP design company in the rapidly growing AI semiconductor market and become a company that contributes to the development of the domestic system semiconductor industry.”

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