[StartupRecipe] A Recap of the 2023 Startup IPO Landscape

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#Weekly Funding Overview

[Dec. 25 ~ Dec. 29]

The total funds raised by Korean startups of this week is KRW 42.8 Billion.

Company	Industry	Amount	Round	Investors
Deepfine	Spatial Computing	6.5 billion	Series A	SM Culture Partners, Smilegate Investments, IBK Industrial Bank of Korea, KIBO
Olimplanet	Immersive tech	12 billion	Pre IPO	Industrial Bank of Korea, Seoulinbio
Constant	Hairloss care	1 billion	Series A	KIBO
Gapjone	Plant Platform	-	Series A	Logan Ventures
ACE Inventor	Solar energy	-	Grant	Deeptech TIPS
Yune	Recycling Fashion	-	Grant	TIPS
JamJam therapeutics	AR Rehabilitation Game	300 million	Seed	Korea Investment Accelerator, DHP
Netsol	Fabless IC design	-		Redelec
WhynotSpirit	Calendar app	-	Seed	CNTtech
Starseed	PR SaaS	-	Seed
Wilco	Agglomerated Boron Nitride	-		Hansaeyes24 Partners
Colon30	Art Commerce	-	Seed	CNTtech
Sumsimdal	Edutech	-	Seed Bridge	The Invention Lab
Pychylab	AI education	-	Seed	AIangel-CNTTech
Stagefive	5G Service	-		Intelliantech
Kkunad	Vietnam E-commerce	-	Grant	TIPS
Studioyamyam	Webinar Platform	-	Seed	Deagu CCEI
Kanaph Therapeutics	Bio	23 billion	Series C	GC, Lotte Biologics, Intervest, Premier Partners, Soliders Investment, Daily Partners, NH Venture Investment, Ajou IB Investment, Wooshin Venture Investment
Livit	Carbon Capture	-	Seed	Sparklab, Planh
Elixir pharmatech	Bio	-	Grant	Deeptech TIPS
Ascentsports	Sports nuturition	-	Pre-Series A	Strong Ventures
Spbt	Food brand aggregator	-	Seed	Y&Archer
ICU Corporation	Digital Healthcare	-		AIangel-CNTTech
Carbajo	Car Inspection	-		Heydealer
Enhans	AI Commerce	-	Grant	TIPS
Returnall	Returns solution	-	Seed	Laguna Investment
FLC	DIE Bonder	-	Grant	TIPS

#Major Funding

• OlimPlanet, an immersive tech startup, has secured 12 billion won in pre-IPO funding, reaching a cumulative total of 30 billion won. Specializing in ELEPECS, a metaverse platform for constructing virtual spaces, OlimPlanet has notably created immersive content, including the Samsung Electronics Showroom and Coca-Cola Pop-up Store. The infusion of capital will be directed towards technological advancements, enabling the company to extend its reach into new markets. OlimPlanet’s strategic agenda includes utilizing the investment to prepare for an Initial Public Offering (IPO) in 2024, further solidifying its position in the immersive technology landscape.
• Deepfine, a spatial computing solutions developer, raised KRW 6.5 billion in investment. The company introduced a ‘DSC’ solution, enabling the creation and editing of extended reality (XR) spaces using smartphones, incorporating image-based indoor positioning technology (VPS). Additionally, Deepfine unveiled a ‘DAO’ solution tailored for business management through the utilization of smart glasses. The cutting-edge ‘DSC’ solution made its debut at CES2024, showcasing the company’s commitment to innovative technology. With the recent funding, Deepfine is strategically preparing to venture into international markets, marking a significant move in its global expansion plans.

#Trend Analysis

A Recap of the 2023 Startup IPO Landscape

The startup IPO landscape of 2023 faced challenges marked by a lackluster performance. Global economic uncertainties and the specter of rising interest rates prompted several unicorn startups, including Kurly and Oasis to either withdraw or defer their plans to go public. Economic concerns also cast a shadow over Padoo, a previously celebrated IPO darling, as it became embroiled in a controversy surrounding inflated earnings in the latter part of the year.

Despite this uncertain environment, some companies managed to navigate successfully. Millie’s Library, a notable example, had previously withdrawn its listing due to challenges in evaluating its value. However, the e-book subscription service eventually went public on the KOSDAQ, experiencing a strong debut by closing nearly double its initial public offering price.

Other success stories include Crowdworks, AI learning data platforms, which went public on the KOSDAQ after six years and early investment from NAVER. Revue Corporation became the first influencer platform to be listed on the KOSDAQ, sustaining solid sales by connecting domestic advertisers with influencers for content sharing on social media. Contec, a space startup, made waves as the first of its kind to go public, offering data processing solutions for satellite image generation and recently launching a small satellite from Jeju Island.
Venture capital firms Capstone Partners and LB Investment also joined the IPO fray, experiencing growth and increased stock prices after their successful listings.

While 2023 faced challenges, signs of optimism emerge for 2024. VivaRepublica, the company behind Toss, is in the early stages of selecting an underwriter, and APR, a unicorn from the previous year, is eyeing a public offering in 2024. Yanolja, after improving profitability and undergoing reorganization, is preparing for a public listing on the Nasdaq. Additionally, around 30 tech companies secured pre-IPO funding and announced their listing goals, heightening market expectations.

However, the aftermath of Padoo’s stock price decline and similar cases underscores the need for addressing underperformance post-listing to surpass expectations in the startup IPO market. Efforts to enhance stability and resilience in the face of market fluctuations will be crucial for sustained success.