Korea/Asia, Events, IPOs, Douglas Research Advisory

Douglas Kim

Nearly 25 years of experience in analyzing hundreds of companies, especially in Asia. Deep expertise in the following sectors:
- Technology (E-commerce, SaaS, Internet)
- Consumer 
- Special Situations/Deep Value Plays
- Holdcos/Stubs
- Asian Unicorns/Private Companies

Korea/Asia, Events, IPOs

COOCON Bookbuilding Results and Trading Strategy Post IPO

Equity Capital Markets

<ul>
<li>
<a href="https://www.smartkarma.com/entities/coocon-corp" target="_blank" data-smartkarma-citation="entities:32234:1" rel="noopener">Coocon Corp (294570 KS)</a> is getting ready to complete its IPO in Korea in the next several weeks. The IPO price range is from 31,000 won to 40,000 won per share. The expected market cap range is from 257 billion won to 332 billion won. The IPO base deal size is from $44 million to $57 million. The book building for the institutional investors will start on 13 April 2021. </li>
<li>The company generated sales of 51.4 billion won (up 24.8% YoY), operating profit of 11.3 billion won (up 82.3% YoY), and net profit of 18.9 billion won (up 106.5% YoY) in 2020. Coocon has experienced a strong growth in sales in the past four years. From 2017 to 2020, the company's sales increased by 52% CAGR.</li>
<li><div class="content-highlight">There is likely to be a strong demand for the Coocon IPO shares, especially because the  IPO discount range is very large (32.4% to 47.6%). As the market leader in providing API based information services, Coocon is well positioned to capitalize on the growing demand of Big Data based API services in Korea.</div></li>
<li>Despite the strong fundamentals of the company, there has been some noticeable weakness on numerous tech related IPOs globally in the past 2-3 weeks and the overall growing negative sentiment on the global tech IPOs could also have a negative impact on this IPO as well. </li>
</ul>



Coocon Corp (294570 KS) is getting ready to complete its IPO in Korea in the next several weeks. The IPO price range is from 31,000 won to 40,000 won per share. The expected market cap range is from 257 billion won to 332 billion won. The IPO base deal size is from $44 million to $57 million. The book building for the institutional investors will start on 13 April 2021. 
The company generated sales of 51.4 billion won (up 24.8% YoY), operating profit of 11.3 billion won (up 82.3% YoY), and net profit of 18.9 billion won (up 106.5% YoY) in 2020. Coocon has experienced a strong growth in sales in the past four years. From 2017 to 2020, the company's sales increased by 52% CAGR.
There is likely to be a strong demand for the Coocon IPO shares, especially because the  IPO discount range is very large (32.4% to 47.6%). As the market leader in providing API based information services, Coocon is well positioned to capitalize on the growing demand of Big Data based API services in Korea.
Despite the strong fundamentals of the company, there has been some noticeable weakness on numerous tech related IPOs globally in the past 2-3 weeks and the overall growing negative sentiment on the global tech IPOs could also have a negative impact on this IPO as well. 


Coocon Corp

COOCON IPO Preview