Elice, a South Korean AI data center company, saw its share price crash by 32.6% on its first day of trading on the KOSDAQ, dropping from 90,500 won to 61,000 won. The IPO had been massively oversubscribed: 388 times by institutional investors and 408 times by retail investors, with over 10,000 billion won deposited. The company raised 201 billion won (151 million dollars) through 2.22 million new shares. Founded in 2015 by three PhD students from KAIST, Elice saw its half-year revenue triple to 34.4 billion won, with an EBITDA margin of 68%. This collapse occurs amid growing nervousness around AI infrastructure companies, as evidenced by CoreWeave’s 25% drop the previous week and Firmus’s abandonment of a 5 billion dollar IPO in Australia.
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