SK Biopharma's 959.3-B Won IPO to be Korea's Biggest in 3 Years

Shares in SK Corp. took a six percent hike Wednesday after announcing plans to list its subsidiary SK Biopharmaceuticals to raise 959.3 billion won.

It will be South Korea's biggest stock market debut since May 2017, when mobile gaming firm Netmarble raised 2.7 trillion won.

SK Biopharmaceuticals' anti-epilepsy drug, Cenobamate, began to sell in the US this month after the US Food and Drug Administration approved it in November.

The company will sell about 25 percent of its shares, with the final pricing of the share offering expected to on June 18.

Mirae Asset Daewoo Securities analyst Chung Dae-ro projects the company's market value to reach five trillion won.

After the Covid-19 pandemic pushed South Korean companies to postpone listing plans, many smaller companies in the country are now preparing to go public as the health situation improves.

An investment banker noted that the mood has changed since April as the stock market recovers.

South Korea's benchmark Kospi stock index has increased by more than a third since March.

Other companies expected to go public this year include Big Hit, the music label behind South Korean boy band BTS, which is eyeing to raise nearly around 1.226 trillion won.

There's also Hyundai Card, the credit card unit of Hyundai Motor Group, which is preparing a 2.45 trillion won listing.