Kots Technology Exceeds Upper Limit of IPO Price Range at 13,000 Won

Cots Technology announced on the 31st that it has finalized the public offering price at 13,000 KRW following a demand forecast conducted for domestic and international institutional investors from the 26th to the 27th. This exceeded the expected price band of 10,000 to 11,500 KRW.

A total of 1,914 institutions from both domestic and overseas markets participated in this demand forecast, applying for a total of 1,212,164,390 shares. The simple competition rate was 1,837 to 1, with the public offering amount expected to be approximately 13 billion KRW, and the market capitalization after listing projected to be around 66.1 billion KRW. 100% of the total participation volume (including those without price indication) offered prices at or above the upper band of 11,500 KRW.

A representative from Korea Investment & Securities stated, “Most investors participating in this demand forecast seem to have positively evaluated Cots Technology’s high technological capabilities and business stability,” adding, “In particular, the expectation of high growth potential based on the rapidly emerging benefits from K-Defense acted as an investment attraction.”

Cots Technology has maintained high growth with an average annual growth rate of 30% over the past three years due to the increasing importance of IT in the defense industry. Additionally, it achieved an order backlog of 95.5 billion KRW in the first quarter of 2023, raising expectations for even higher growth alongside the strengthening status of K-Defense.

Through this IPO, Cots Technology plans to invest the secured public offering funds in ▲advancing embedded system technology ▲acquiring outstanding talent ▲expanding production lines to continue its steep growth trajectory.

Jowon Jo, CEO of Cots Technology, emphasized, “We thank the many institutional investors who positively evaluated the company’s corporate value,” and added, “Using this listing as a stepping stone, the company will do its best to establish itself as a firm that enhances the status of K-Defense.”

Cots Technology is scheduled to conduct a general subscription over two days from the 1st to the 2nd of next month and is expected to enter the KOSDAQ on the 10th of the same month.

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