The booming initial public offering (IPO) market at the end of last year entered a temporary adjustment period in the first month of the new year. However, several companies preparing to list on KOSDAQ have quietly launched their IPO processes, providing clues about the IPO market atmosphere at the beginning of the year.
Although no new companies have completed their IPOs in January, Deyang Energy and AXBVISS are expected to launch their public offerings this month. Deyang Energy, a hydrogen energy specialist, will begin its subscription to retail investors on the 21st and is likely to become the first company to list in 2026. Founded in 2020, Deyang Energy is rapidly growing thanks to its technology in purifying by-product hydrogen (hydrogen generated as a byproduct in the production of caustic soda or petrochemical products) into high-purity industrial hydrogen. AXBVISS, on the other hand, is a manufacturer of electrical equipment, including intelligent high-power laser solutions.
The unusually quiet IPO market in January is undoubtedly related to the unexpected activity in December. While the end of the year is typically considered a slow season for public offerings, December saw a remarkable 12 companies proceed with their IPOs, demonstrating exceptional activity. At that time, high investor expectations for biotechnology and artificial intelligence-related companies, coupled with anticipation of government policies to revitalize the KOSDAQ market, collectively propelled companies to list earlier than planned.
Despite a relatively calm January, the IPO market is expected to regain its vitality in the first half of the year due to the queue of several high-profile companies awaiting listing. Representative companies include K Bank, an internet-focused bank, and ESOLUTIONS, the semiconductor materials subsidiary of LS Group, both of which applied for pre-listing review in November last year. Other companies mentioned as potential IPO candidates include online fashion platform MUSINSA, GOODAY GLOBAL (owner of the cosmetics brand "Chosun Beauty"), UPSTAGE (a major domestic language model developer), and BITHUMB (a virtual asset exchange).
Market experts believe that while liquidity conditions remain stable, IPO demand also remains robust. In particular, the recent stock market rally has been accompanied by a positive atmosphere in the issuance market (the market where companies raise funds by issuing new shares). However, the Korea Exchange is expected to release new guidelines on dual listings in the first quarter, which could become a variable in the IPO strategies of major companies.
This trend suggests that the IPO market will officially reopen after the first quarter. From an investor's perspective, now is the time to adopt a strategic approach and carefully examine the industry, growth potential, and market demand of companies planning to go public.
