Korea/Asia, Events, IPOs, Douglas Research Advisory

Douglas Kim

Nearly 30 years of experience in the Korean/Asian equity research. Major sectors coverage include the following:
- Technology 
- Consumer 
- Special Situations/Deep Value Plays
- Tender Offers/M&As
- Holdcos/Stubs
- Asian Unicorns/Private Companies

Korea/Asia, Events, IPOs

Intellian Technologies IPO Preview (Part 2) - CEO Presentation to Investors & Valuation Analysis

Launch of Starlink Service by SpaceX - Impact on 11 Korean Companies

Equity Capital Markets

<ul><li>Intellian Technologies is expected to complete an IPO in October 2016 on the Korea Stock Market. The company has the number one market share in the global maritime satellite communication antenna systems, which is an oligopoly market. The company's satellite antenna products basically allow faster and more stable transmission of Internet, data, and TV broadcasting for thousands of ships around the world. About 91% of its sales are exported. Established in 2004, Intellian Technologies has experienced a strong growth in its sales and profits in the past several years and has decent ROE. However, the IPO deal size is small (US$24-27m).   </li><li>The VSAT and GX Terminal systems are currently installed in 15,600 large scale ships and marine platforms globally (out of 121,000), which represents only 13% potential penetration rates.</li><li>Major customers of the company include Inmarsat, Carnival, Royal Dutch Shell, Chevron, Hyundai Heavy Industries, Hyundai Glovis, SpaceX, Marlink, MTN,Speed Cast, Imtech, RigNet, kt sat, SK telink, US Navy, and Korean Navy. The company has more than 450 customers and dealers. </li><li>The global marine satellite antenna systems market is expected to be about 317 billion won in 2016, up 11.1% YoY. This market increased at a CAGR of 9.3% from 2012 to 2015. This market is expected to increase to 420.2 billion won in 2020, representing a CAGR of 8.1% from 2015 to 2020. The biggest growth in the marine satellite antenna systems is coming from the GX terminals which is expected to experience a CAGR of 31% from 2016 to 2020. GX Terminals are expected to represent 6.1% of the total global marine satellite antenna systems market in 2016, rising to 13.5% in 2020. It is estimated that Intellian Technologies had about 58% sharein the GX terminal market in 2015.</li></ul>

Intellian Technologies is expected to complete an IPO in October 2016 on the Korea Stock Market. The company has the number one market share in the global maritime satellite communication antenna systems, which is an oligopoly market. The company's satellite antenna products basically allow faster and more stable transmission of Internet, data, and TV broadcasting for thousands of ships around the world. About 91% of its sales are exported. Established in 2004, Intellian Technologies has experienced a strong growth in its sales and profits in the past several years and has decent ROE. However, the IPO deal size is small (US$24-27m).   The VSAT and GX Terminal systems are currently installed in 15,600 large scale ships and marine platforms globally (out of 121,000), which represents only 13% potential penetration rates.Major customers of the company include Inmarsat, Carnival, Royal Dutch Shell, Chevron, Hyundai Heavy Industries, Hyundai Glovis, SpaceX, Marlink, MTN,Speed Cast, Imtech, RigNet, kt sat, SK telink, US Navy, and Korean Navy. The company has more than 450 customers and dealers. The global marine satellite antenna systems market is expected to be about 317 billion won in 2016, up 11.1% YoY. This market increased at a CAGR of 9.3% from 2012 to 2015. This market is expected to increase to 420.2 billion won in 2020, representing a CAGR of 8.1% from 2015 to 2020. The biggest growth in the marine satellite antenna systems is coming from the GX terminals which is expected to experience a CAGR of 31% from 2016 to 2020. GX Terminals are expected to represent 6.1% of the total global marine satellite antenna systems market in 2016, rising to 13.5% in 2020. It is estimated that Intellian Technologies had about 58% sharein the GX terminal market in 2015.

Intellian Technologies IPO Preview (Part I)

Kvh Industries

Intellian Technologies IPO Preview (Part I)