The stock of beauty tech corporations APR has been soaring, and it is estimated that employees who participated in the employee stock ownership plan during the initial public offering (IPO) would have recorded an evaluation profit of nearly 55 million won per person if they held onto their shares.
According to the Korea Exchange on the 2nd, APR stock closed at 115,300 won on the 30th of last month. APR's stock price has shown a sharp rise since the announcement of first-quarter results for this year on the 8th of last month. The stock price increased by 51.3% (39,100 won) during this period. On the 28th of last month, it rose to 121,000 won at one point, setting a new all-time high.
APR employees are now in a happy dilemma, as the lock-up period on employee stock ownership plans has expired one year after the company went public in February last year. Considering that APR's stock split of 5-for-1 reflects a total of 352,540 shares for the employee stock ownership plan, with the offering price set at 50,000 won per share. Given that there were 419 APR employees at the time, this means each person received an average of 841 shares. Based on the previous trading day's closing price, it indicates an average evaluation profit of 54,920,000 won per person.
General investors are also benefiting, with most in profit territory. The average purchase price for 3,645 APR investors, linked to Naver Pay's "My Asset Service," is 86,392 won, showing an average evaluation profit margin of 33.46% based on the previous trading day's closing price. About 80% of investors have purchased shares at a price lower than the current stock price.
APR operates its representative beauty brand "Medikube" and beauty device businesses. As its popularity grows in overseas markets, its performance has also been on the rise.
Foreign investors have also purchased APR stocks. Morgan Stanley & Co. International, an asset management firm affiliated with global investment bank Morgan Stanley, has increased its stake in APR to 5.76%. After exceeding 5% on the 20th of last month, it additionally net bought 285,112 shares.
Securities firms are also optimistic about APR's outlook. However, as the stock price has risen sharply, the upward potential based on target prices has decreased. According to financial information provider FnGuide, the average target price proposed by 15 securities firms for APR last month was 128,000 won.