Kido Industrial plunges 29.23% on first KOSDAQ trading day

Kido Industrial (282620.KQ), a high-performance apparel original equipment manufacturer for global brands, fell 29.23% to 20,100 won, or about $15, by 1:41 p.m. on the 21st, according to the Korea Exchange. The stock opened at 28,000 won, briefly reached 29,500 won—3.87% above its 28,400-won offering price—and later touched 19,960 won, extending the decline to 29.72%. Volume reached 7,113,489 shares and turnover totaled 179.6 billion won, or about $129.8 million, equal to roughly 3.7 times the company’s immediate post-listing free float of 1,899,185 shares. Institutional bookbuilding drew 637 institutions and produced a 213.3-to-1 competition ratio, while the retail subscription ratio was 5.5 to 1, with about 24,000 applications and roughly 33 billion won in deposits. Kido Industrial produces high-value-added woven apparel, including motorcycle wear and high-performance outdoor clothing, using specialized material processing, ergonomic design and smart-factory systems. Revenue grew at an average annual rate of about 24% over the past three years, while its operating margin last year was 9.3%, above peer averages. The company cites Gore-Tex’s highest certification grade, CE certification, 46 years of manufacturing expertise and long-standing relationships with major global brands as growth foundations. IPO proceeds will fund capacity expansion at its Bangladesh manufacturing base, smart-factory upgrades and research and development, while the company plans to raise its dividend payout ratio gradually to 30% to 40%. The sharp debut decline came as KOSDAQ fell 4.55% and KOSPI dropped 0.35%, suggesting that market-wide risk aversion and concentrated supply-demand pressure, rather than the company’s fundamentals alone, drove the initial selloff.

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