Open Edge Technology Closes Subscription Today... Redemption Rights in Focus

Employee Stock Ownership Plan Allocation 'Sold Out'
Entering KOSDAQ After General Subscription Closes

[Asia Economy Reporter Kwangho Lee] Open Edge Technology is conducting a public offering subscription for individual investors until today.

Open Edge Technology conducted an institutional investor demand forecast over two days on the 7th and 8th, recording a competition rate of 44.3 to 1, and finalized the public offering price at 10,000 KRW. Although the demand forecast results were low, the lowered final public offering price reduced the investment burden, and the granting of a put-back option is expected to influence the general subscription.

The put-back option guarantees a loss limit to general public offering participants by the underwriter. If the company's stock price falls below 90% of the public offering price after listing, investors have the right to sell their public offering shares back to the underwriter. Open Edge Technology, which listed under Tesla requirements, is analyzed to attract investor attention due to the relatively lower investment loss risk from the put-back option.

With the confirmation of Open Edge Technology's public offering price, the public offering amount decreased to 33.9 billion KRW, and the market capitalization dropped to 208.7 billion KRW, while the circulating shares lowered to about 25.5%. Additionally, the employee stock ownership allocation was fully sold out, and the overall public offering scale decreased due to a 47% reduction in old share sales, increasing the proportion from 6.05% to 6.5%.

Open Edge Technology is a specialized company that designs and develops AI semiconductor IP (Intellectual Property) based on its proprietary core technology. It has currently signed more than 30 license agreements, including with global top-tier fabless companies, and SK Hynix and Hyundai Motor Company have participated as strategic investors (SI).

A representative of Open Edge Technology said, “Although the demand forecast results were disappointing, the listing is not the end but a new beginning, and we plan to promote our business based on core values to achieve our goals more quickly,” adding, “We will do our best to develop semiconductor IP and expand overseas markets to return high corporate value to our shareholders.”

Meanwhile, Open Edge Technology’s general subscription is available through Samsung Securities. After refunding subscription deposits on the 20th, it is scheduled to be listed on KOSDAQ on the 26th of the same month.

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