GFC Life Sciences: Pioneering Bio-Materials and Medical Devices

GFC Life Sciences is moving from KONEX to KOSDAQ. This transition aims to expand growth-oriented projects. Let’s explore their strategies and objectives.

Initial Public Offering Details

GFC submitted a securities report in preparation for the IPO. The offering will take place on June 19-20.

Total of 784,000 new shares for approximately 9.64 billion KRW.
Target price range: 12,300 KRW to 15,300 KRW.
Use of funds:
- 7.5 billion KRW for medical device production facilities (fillers).
- 2.1 billion KRW for debt repayment.

GFC is working with Daishin Securities as their underwriter.

GFC Life Sciences: Company Overview

Founded in 2002, GFC specializes in bio-materials like skin microbiome and exosome technology. They focus on developing functional cosmetic ingredients and provide clinical trial data. Since listing on KONEX in December 2022, GFC has steadily moved towards commercialization and revenue growth.

Advancing Bio-Material Tech with Skin Microbiome and Exosomes

GFC’s main offerings include skin microbiome technology. They harness beneficial bacteria on the skin for anti-aging and barrier-enhancing products. The microbiome market, valued at 6.18 billion USD in 2022, is projected to exceed 10 billion USD by 2026, growing at 13.1% annually.

Exosome Technology:

Exosomes, integral to cell communication, offer potential in high-function cosmetics and therapeutic materials. GFC has succeeded in commercializing exosome technology, backed by multiple patents. Exosome-related markets are expected to balloon from 47.3 billion USD in 2023 to 340 billion USD by 2031.

New Ventures into Medical Devices

GFC is also entering the medical device sector with exosome-based products. The production facility for class-four medical devices, including fillers, is set to receive a 4.5 billion KRW investment. They completed the manufacturing site and acquired first-class device permits, aiming for sales by year-end.

Stable Growth and Secure Business Operations

For 2024, GFC reported a consolidated revenue of 16.8 billion KRW, an operating profit of 1.7 billion KRW, and a net profit of 700 million KRW. The bio-material division yielded 76% of total revenue, solidifying a stable growth foundation.

2025 Q1 Results:

Revenue: 4.49 billion KRW.
Operating Profit: 390 million KRW.
Net Profit: 298 million KRW.

Key Stakeholders and Future Plans

CEO Hee-chul Kang holds a 39.1% stake and possesses deep expertise in bio-tech and cosmetics. AJU Asset Management affiliates own 5.31% stakes each through platforms AJU Life Sciences Overseas Platform and AJU Growth and Healthcare.

The company plans to strengthen its market position in bio-materials and diversify revenue streams within medical devices. GFC also aims to expand internationally and boost R&D investments.

Major shareholder: CEO Hee-chul Kang (39.1%)
Other investors:
- AJU Life Sciences Overseas Platform (5.31%)
- AJU Growth and Healthcare (5.31%)

Conclusion

GFC Life Sciences is strategically positioning itself for long-term success. With advancements in bio-materials, a transitioning public listing, and new medical device ventures, GFC aims to reinforce its market presence and drive innovation. Stay updated on their journey as they aim for global expansion and enhanced R&D initiatives.