Elice Group, a Seoul-based AI services firm that plans portable modular data
centers, fell 28% on its first day of trading to 65,300 won from an IPO price of
90,500 won. The company raised 201.1 bln won (~$150m) in the offering and saw
institutional demand of 388.84x during the IPO. Investors, citing high inflation
and elevated borrowing costs, are increasingly skeptical that capital-intensive
AI projects will deliver near-term returns and secure follow-on financing,
Kiwoom Securities analyst Kim Hak-joon said. The sell-off has cooled sector
investment appetite and stalled other firms’ listing plans.
