[IPO] TFE "Aiming to Be the Global No.1 Company in Semiconductor Testing Field"

Moon Sung-joo, CEO of TFE.

[Asia Economy Reporter Jang Hyowon] TFIE, a specialized company in core components for semiconductor package testing, is entering the KOSDAQ market. TFIE plans to expand into the tester equipment market based on the only domestic ‘total solution’ related to semiconductor package testing processes.

On the 3rd, TFIE held a press conference in Yeouido, Seoul, to announce its growth strategy after listing on KOSDAQ. TFIE is a specialized company that develops and manufactures core components for semiconductor testing processes. It mass-produces test sockets, test boards, burn-in boards, and COK (Change Over Kit), and is the only company in Korea to supply all four components as a total solution.

TFIE’s core competitive advantage, the total solution, features high yield due to the organic connectivity between components. Previously, components required for the testing process were supplied by separate companies, which limited the accuracy and coordination of component connections. TFIE has focused on this aspect and has been providing total solutions since 2010, further strengthening its capabilities by acquiring Japan’s JMT in 2019.

Based on its core technological competitiveness, TFIE has secured customers including global integrated device manufacturers (IDMs) and semiconductor packaging and testing subcontractors (OSATs). Leveraging long-term partnerships with leading domestic semiconductor companies, TFIE is focusing on expanding its sales channels by securing new clients this year.

TFIE has maintained a sales growth trend with an average annual growth rate of 34.4% over the recent three years (2019?2021), and operating profit has also shown an increasing trend since 2019. Last year, on a consolidated basis, sales reached 71.9 billion KRW and operating profit was 10.9 billion KRW. In the first half of this year, sales were 33.2 billion KRW and operating profit was 5.4 billion KRW.

TFIE plans to use the funds raised through this listing to recruit research personnel, develop pin sockets and tester equipment, replace aging facilities, and introduce new production facilities.

Moon Sungjoo, CEO of TFIE, stated, “As semiconductor front-end processes become finer and process complexity increases, the unit price of test components also rises, so we expect our sales growth to continue. We plan to expand our business in the non-memory and memory semiconductor testing process sectors and diversify our customer base to further broaden the fields where our total solution can be applied.”

Meanwhile, TFIE’s total number of shares offered is 2.7 million, with a desired price range of 9,000 to 10,500 KRW per share, and a total offering amount of 24.3 to 28.4 billion KRW. After institutional demand forecasting by the 4th, the offering price will be finalized, followed by subscription for general investors from the 8th to the 9th. The listing is underwritten by IBK Investment & Securities.

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