Korean internet access provider Thrunet has become the first Korean company to have its primary listing in the US as well as the first to list on the Nasdaq exchange. In an IPO this week, the company sold 10.1 million shares at $18 each, which was substantially higher than the original price range of $12 to $14 per share. Massive demand from US investors saw the price raised twice as well as the number of stocks issued increased from an initial 9.8 million.
A provider of high-speed internet access, Thrunet was initially established by TriGem Computer and its stakeholders include Microsoft and state-run Korea Electric Power Company. It offers internet access through KEPCOÆs optical fiber cable TV network. The company said that Thrunet plans to use the proceeds from the offering to fund capital expenditure and operating losses, while a portion may go for strategic acquisitions or investments.
Stock analysts said Thrunet’s successful IPO paves the way for other Korean companies to tap the US stock market, with several others planning a Nasdaq listing without first listing in Korea.
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