[이코노믹리뷰=이성희 기자] LG Energy Solutions (373220), the largest IPO market this year, plunged more than 15% on the first day of listing, while foreigners sold about 1.5 trillion won worth, it was found.
According to the Korea Exchange on the 27th, the starting price of LG Energy Solution was formed at 597,000 won, which is almost double the public offering price (300,000 won) on the same day. However, it was pushed back to 450,000 won during the day and recovered to 530,000 won in the afternoon. Shortly thereafter, it fell again to 505,000 won and closed the market. It is down 15.4% from the opening price.
The failure of LG Energy Solutions on the first day is interpreted as the influence of foreign securities companies, which were presumed to be foreigners, for sale even before the opening. It is known that 72.9% (9377,750 shares) of the total amount (12,856,250 shares) allocated to foreigners did not apply for mandatory protection.
The reason why the securities industry initially predicted an increase in the share price of LG Energy Solution was the small number of outstanding shares. This is because LG Chem, the largest shareholder of LG Energy Solution, and the employee stock ownership association each own 81.84% and 3.63%, so the sale cannot be made with a protection deposit. In addition, LG Energy Solutions also had a positive effect on the fact that 77.4% of applications for mandatory protection were applied when forecasting demand.
However, the mandatory retention commitment ratio assigned to the actual institution was 58.3%, which was significantly lower than the application ratio when forecasting demand. As the proportion of unconfirmed foreign investors increased, the actual number of stocks available for circulation increased more than expected.
On the other hand, in the case of domestic institutions, the proportion of the six-month commitment period reached pension funds, banks and insurance companies (86.4%), management companies (68.0%), and the financial investment industry (52.6%), and the amount of uncommitted contracts was only between 2% and 5%.
It is analyzed that the sharp drop in LG Energy Solution’s stock price is the effect of a bomb for sale by foreigners, and that individual investors participated in it and increased the decline.
On the first day of listing, foreigners poured out 2,887,124 shares, and net sales amounted to 1.49 trillion won. It is equivalent to 30.7% of the unconfirmed drug volume allocated by foreigners, and there are concerns that it may lead to additional selling out.
On the other hand, individual investors sold 2,811,640 shares, and the net selling amount was 1.47 trillion won, slightly less than the foreign sales.
On the other hand, the selling volume of foreign and individual investors was absorbed by institutions. Institutions purchased a total of 5,833,958 shares, with a net purchase of KRW 3.4 trillion.