Shift Up IPO Book Building Results Analysis

• Shift Up reported solid IPO book building results. Shift Up's IPO price has been determined at 60,000 won won, which is at the high end of the IPO price range.

• The demand ratio was 226 to 1. Shift Up will start trading on 11 July.

• Our base case valuation of Shift Up is market cap of 5.7 trillion won or target price of 95,510 won (59% higher than the IPO price of 60,000 won).

Photo by jet dela cruz on Unsplash

IPO Book Building Results

Shift Up (462870 KS) reported solid IPO book building results. Shift Up's IPO price has been determined at 60,000 won won, which is at the high end of the IPO price range.At this price, the market cap of the company would be 3.5 trillion won. The demand ratio was 226 to 1. Shift Up will start trading on 11 July. It has been reported that major global institutional investors as well as the NPS participated in the Shift Up IPO book building demand forecasting. NH Investment & Securities and Korea Investment & Securities are the main underwriters of this IPO.

Shift Up and the underwriters plan to allocate more IPO offering shares to domestic institutional investors. A total of 62.5% of the IPO shares was allocated to domestic institutional investors, and 37.5% was allocated to overseas institutional investors. The mandatory lock-up ratio of domestic institutional investors was high at 25%.