LS Materials embarks on IPO process to go public in 2023
Seok-Cheol Choi
Jul 18, 2023 (Gmt+09:00)
Global top ultracapacitor player LS Materials Co. is expected to go public in South Korea this year, which would mark the first LS Group company IPO in seven years.
According to the Korea Exchange (KRX) on Tuesday, the Korean energy storage device maker filed a preliminary review for its listing on the Kosdaq, Korea’s junior bourse.
Considering that a review normally takes about 45 working days, the Korean supercapacitor manufacturer is expected to be listed within this year if the KRX gives it the nod.
When its financial investor Keistone Partners Co. sold some of its shares in the company last month, LS Materials was valued at about 300 billion won ($237.8 million). Given this, the company is forecast to raise funds at an estimated valuation of up to 500 billion won during its public share sale.
It will sell about 14,630,000 shares, including both new and existing shares at a 60%-40% ratio. KB Securities Co. and Kiwoom Securities Corp. are co-underwriters.
Its biggest shareholder with a 50% stake is LS Cable & System Ltd. (LS C&S). The remaining shares are held by multiple financial investors including Keistone Partners.
If it goes public as planned, it would be the first IPO for an LS Group company since the listing of LS Cable & System Asia Ltd. in 2016.
LS Materials' IPO would give its parent LS Group a chance to test the waters of its new vision of doubling its assets to 50 trillion won by 2030 with carbon-free electricity, which refers to electrical energy produced from resources that do not generate carbon emissions.
Under this Vision 2030, batteries, electric vehicles and semiconductors are the group’s new growth drivers and LS Materials is responsible for one of the three pillar businesses.