Doosan Robotics, a South Korean manufacturer of collaborative robots, is set to make its market debut on October 5, 2023. The company's robots, designed to work in tandem with humans in performing tasks such as assembly, loading, and welding, will soon be available to investors. The firm, which competes with Japan's Fanuc (OTC:FANUY) and Denmark's Universal Robots, was founded in 2015.
The upcoming public offering has been marketed to institutional investors at a price range of KRW 21,000 to KRW 26,000 per share. If priced at the upper end of this range, it would result in a market capitalization for the company of approximately KRW 1.69 trillion ($1.3 billion). The same offer will be extended to retail investors later this week.
In the eight trading days leading up to Tuesday's announcement of the listing, shares in parent company Doosan Corp saw an increase of 11%. This surge reflects market expectations that the successful listing of its robotics subsidiary will positively impact Doosan Corp's valuation. Following the offering, Doosan Corp's stake in Doosan Robotics will be reduced from 91% to around 68%.
Despite reporting a revenue of KRW 45 billion and an operating loss of KRW 13.2 billion last year, CEO William Ryu is optimistic about the company's future. He anticipates that Doosan Robotics will reach its break-even point by 2024.
Proceeds from the public offering are slated for investment in expanding production facilities and diversifying the product portfolio. This strategic move underscores Doosan Robotics' commitment to growth and innovation within the robotics industry.
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