LS Group's electric vehicle charging station subsidiary LS E-Link did not pass the Korean Exchange listing review.
According to the Korean Exchange on the 27th, LS E-Link voluntarily withdrew its preliminary listing review on the 24th. This came about four months after selecting Mirae Asset Securities and Korea Investment & Securities as underwriters on August 22.
LS E-Link is a corporation that operates electric vehicle battery charging stations, established in 2022 with investments of 31 billion won each from LS and E1. It has over 350 charging stations nationwide. Last year, it recorded sales of 27.7 billion won and a net profit of 2.3 billion won.
Analysts suggest that LS E-Link proposed a valuation that was too high for the Korean Exchange's standards, leading to delays and the withdrawal of the listing review. LS Group and the underwriters reportedly aimed for a market capitalization of 1 trillion won post-listing.
The market is assessing that changes in LS Group's affiliate listing strategy have become inevitable. Following the listing of LS Materials last year, LS Group had planned to list LS E-Link, with subsequent plans for LS EV Korea.
An official from the securities industry noted, "Due to the electric vehicle chasm (temporary demand stagnation), valuing the company has become difficult, and the public offering market continues to be sluggish. However, LS Group's attempt to list LS E-Link is expected to continue."