Aircraft maker KAI set to debut on Seoul bourse
Korea Aerospace Industries Ltd. (KAI), South Korea's leading aircraft maker, said Wednesday its shares will start trading on the country's main stock market later this month.
A total of 97.4 million KAI shares will be listed on the major bourse on June 30 after selling 36.6 million shares through an initial public offering (IPO), the company said in a news conference.
KAI, whose market cap is estimated to reach around 1.5 trillion won (US$1.4 billion), said it plans to use the proceeds from the IPO on new facility and equipment investments as the company is pushing to expand overseas.
"KAI aims to become a global company with revenue of 4.3 trillion won in 2020," said company president Kim Hong-kyung.
"The company plans to generate half of its profit from overseas in 2015, and keep increasing its portion of exports."
The aircraft maker currently reaps around 60 percent of its profit from domestic demand, but it has been stepping up efforts to boost exports.
In May, KAI clinched a $400 million deal to export 16 T-50 trainer jets to Indonesia.
Established in 1999, the company's main shareholders include state-run policy lender Korea Finance Corp., top automaker Hyundai Motor Co. and precision machinery maker Samsung Techwin Co.
The aircraft manufacturer posted a net profit of 78.8 billion won on revenue of 1.3 trillion won in 2010.