Amid the COVID-19 inoculation drive that's picking up steam globally, competition for South Korean vaccine producer SK Bioscience's IPO is intense .
Retail investors are scrambling for subscriptions, which opened for two days on Tuesday.
"AstraZeneca's vaccine will be shipped from SK Bioscience's factory in Andong for the first time in South Korea."
SK Bioscience's IPO next week has garnered attention among investors both at home and abroad as it has agreements to produce COVID-19 vaccines developed by AstraZeneca and Novavax in South Korea.
Also, its own vaccine has been given regulatory approval to launch human clinical trials.
The IPO share price has been set at around 57 U.S. dollars, which is the high end of its indicative price range of 43 and 57 dollars.
SK Bioscience's market capitalization post-IPO is forecast to be around four.four billion dollars.
Last week's subscription by institutional investors was fierce as 1,464 firms participated in a bid to obtain new shares and submitted orders by a multiple of 1,275 for the stock made available.
This is more competitive than local drug manufacturer SK Biopharmaceuticals, which scored 835-to-one last year.
An expert says the stock price is likely to show an upward trend after SK Bioscience lists on the benchmark KOSPI.
"SK Bioscience's performance is much better than SK Biopharmaceuticals as the vaccines produced by the company on a consignment basis are already being administered. Thus, the momentum in the market is very positive and is likely to show an upward trend."
With the IPO causing an intense buzz, the number of new stock accounts at the underwriter of the IPO deal has been spiking compared to previous months.
Some analysts forecast the price of the stock will double after its stock market debut.
Eum Ji-young Arirang News.