Dongwon Parts, a manufacturer of precision semiconductor components, saw its stock price rise more than 51% on the KOSDAQ's opening day on November 10.
According to the Korea Exchange, as of 9:34 a.m., Dongwon Parts was trading at 40,100 won, up 13,600 won (51.32%) from its initial public offering price of 26,500 won.
Dongwon Parts develops and manufactures key components for semiconductor front-end equipment based on specialized material precision processing technology. Its main products include shower heads, chamber components, heaters, and spin chucks. The company supplies parts for new semiconductor equipment as well as consumables needed for the maintenance of existing equipment. Major clients include Semes, Lam Research, and Applied Materials.
In the demand forecast for institutional investors, Dongwon Parts recorded a competition ratio of 841 to 1, with the offering price set at the upper end of the expected range (26,000 to 26,500 won). During the public offering for individual investors held on November 2-3, the overall competition ratio reached 1,219.4 to 1. More than 618.83 million shares were requested for the 507,500 shares allocated to individual investors, resulting in a subscription deposit of approximately 8.1995 trillion won.
The company's performance has also shown growth. Last year, it recorded approximately 92.3 billion won in revenue and about 7.8 billion won in operating profit. In the first half of this year, it achieved approximately 63.3 billion won in revenue and about 14.5 billion won in operating profit. By September, the cumulative provisional revenue reached approximately 100.2 billion won, with operating profit of 22.4 billion won, surpassing last year's annual performance.
Dongwon Parts plans to use the funds raised from this listing to establish a new factory at the Namdong Industrial Complex in Incheon and expand production facilities. The company aims to enhance its product lineup focused on high-difficulty, high-margin products and diversify its global customer base and upstream industries to sustain its growth. It also plans to develop new businesses in aircraft maintenance, repair, and overhaul (MRO) and metal 3D printing.
Jo Jun, Vice President of Dongwon Parts, stated, "Dongwon Parts is a precision parts partner with growth and profitability based on the trust of global clients and integrated production capabilities. We aim to become a leading global semiconductor parts company."
* This article has been translated by AI.
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