Source: NewsTop | May 14, 2024
Marine exploration specialist GeoView has raised 22 billion KRW in new investment. The funds will be used for the purchase of ships for precise seabed investigations and for operational expenses.
According to investment banking (IB) industry sources, GeoView held a board meeting on April 30 and resolved to raise external funds through a third-party allocation of new shares. The company will issue approximately 6,660 redeemable convertible preferred shares (RCPS), with a subscription price of 3.3 million KRW per share.
Based on the issue terms, GeoView’s pre-money valuation is approximately 110 billion KRW. New financial investors (FIs) in this round include Timefolio Asset Management (16 billion KRW), Stick Ventures (4.5 billion KRW), and the Industrial Bank of Korea (1.5 billion KRW), who will collectively invest 22 billion KRW. The funds are expected to be gradually paid in soon.
Timefolio Asset Management, in addition to investing in new shares, will also purchase 4 billion KRW worth of existing shares from current shareholders. These shares will be added to a project fund established for GeoView. Stick Ventures will also buy 1 billion KRW worth of existing shares, utilizing its Stick Innovation Fund, which was established two years ago.
This is GeoView’s second round of investment in a year. In April of the previous year, the company raised 3 billion KRW by issuing 3,322 RCPS shares to Timefolio Asset Management, with a subscription price of 900,000 KRW per share, and the pre-money valuation was around 27 billion KRW. In this round, the company’s valuation has increased about four times compared to last year.
Founded in 2005, GeoView specializes in marine exploration. The company provides a variety of services including offshore survey support, submarine cable surveys, high-resolution seabed investigations, seabed object detection, and seabed sediment surveys. They perform essential exploration projects for offshore wind farms and submarine cable installations.
Investors have taken particular interest in GeoView’s marine exploration technologies. Notable achievements include exporting marine exploration technology to the Philippines in 2019 and completing the ‘Firefly Floating Wind Farm Marine Exploration Project’ commissioned by Norway’s state-owned Equinor in 2022. GeoView is the first domestic marine exploration company to successfully export its proprietary technology and execute overseas projects.
GeoView has also shown significant improvements in profitability. According to the Financial Supervisory Service’s electronic disclosure system, GeoView reported a revenue of 15 billion KRW and an operating profit of 6.2 billion KRW last year. Compared to the previous year, revenue grew by 161%, and operating profit surged by 257%. During the same period, net profit increased nearly threefold, from 1.6 billion KRW to 4.3 billion KRW. With the new investment, GeoView is expected to continue its rapid growth, especially with the acquisition of seabed exploration ships.
