Doosan Robotics upcoming IPO attracts BlackRock, sovereign funds

Finance

Doosan Robotics upcoming IPO attracts BlackRock, sovereign funds

Published: 20 Sep. 2023, 16:07 Updated: 20 Sep. 2023, 17:03

SHIN HA-NEE
shin.hanee@joongang.co.kr

A collaborative robot named E-series developed by Doosan Robotics [DOOSAN]

Doosan Robotics' upcoming initial public offering (IPO) is garnering strong interest from major investors including long-funds and sovereign wealth funds during the institutional book building period, with its offering price set at the upper end of the suggested price band.

Its potential investors include Norway’s sovereign wealth fund Norges Bank Investment Management, Singaporean sovereign wealth fund GIC, as well as BlackRock and Goldman Sachs.

While Doosan did not confirm the names on the list, the lead underwriters for the company, Mirae Asset Securities and Korea Investment and Securities, said in a release that “foreign sovereign wealth funds and major large-cap long-term funds participated in the book building, which is rare for an IPO deal with an offering size less than 500 billion won ($375.8 million).”

Doosan Robotics closed its five-day institutional book building on Sept. 15, and set its offering price at 26,000 won, which is at the top of its price band.

A total of 1,920 institutional investors from both home and abroad participated in the book building and applied for over 2.4 billion shares combined. Among the participants, 51.6 percent agreed to a lockup after the IPO, according to Doosan Robotics.

Doosan will issue 16.2 million shares through the IPO. The company expects to raise 421.2 billion won, with the market cap estimated at 1.69 trillion won.

The subscription will open for retail investors on Thursday for two days. The company plans to begin trading in the main Kospi bourse on Oct. 5.

Doosan Robotics is Korea’s largest collaborative robot supplier. Proceeds from the IPO will be used to improve production capacity as well as research and development capabilities.

BY SHIN HA-NEE [shin.hanee@joongang.co.kr]