이 기사는 2022년 05월 11일 08:11 thebell 에 표출된 기사입니다.

South Korea’s high-tech digital prototype company Model Solution, a subsidiary of Hankook Tire & Technology, will sell only new shares in its planned initial public offering (IPO).

Model Solution filed for a preliminary IPO approval on April 14 to go public on the country's secondary Kosdaq market. The company has hired KB Securities to handle the process. The company may list its shares as early as July.

Model Solution plans to list some 6.39 million shares through its IPO, of which one million shares, or 15.64% of the total, will be offered for public subscription.

According to Model Solution’s consolidated audit report, the number of issued shares was 5,396,700 at the end of 2021. The number of shares increased after the company issued bonus shares in December 2012 and split the value of its common stock 10 for 1 in January this year.

Model Solution had been 75% owned by Hankook Tire & Technology and 25% owned by Seoul-based private equity firm Crescendo Equity Partners through Monet Holdings. In February, a consortium of three private equity firms participated in a pre-IPO and acquired a 14% stake from Monet Holdings for about 19.4 billion won ($152 million).

Based on this transaction, the estimated share price is around 25,677 won each. Model Solution’s corporate value after going public is expected to reach about 164.2 billion won. After applying a discount rate of 21.40-34.08%, the company’s value is calculated at 108.2 billion won to 129 billion won. Its valuation may increase depending on its comparable companies.

Model Solution, which has operations in Seoul and Silicon Valley, designs and manufactures prototypes, with market leading expertise in precision prototyping, design support, tooling, low volume manufacturing and 3D printing. It counts Samsung, Microsoft, Apple and Tesla among its over 400 customers in the world. (Reporting by Sang-won Lee)