Intellivix draws 3.96 trillion won in IPO subscription deposits

AI video analysis specialist Intellivix recorded a subscription competition ratio of 1,410.88 to 1 during its general investor public subscription on the 22nd. The company, which set its final offering price at 9,000 won following institutional demand forecasting, is scheduled to list on the KOSDAQ market on the 30th.

Intellivix, a specialist in AI video analysis, has drawn intense investor interest, recording a high competition rate in its public subscription following its institutional demand forecasting. As the company expands its business scope from video security to industrial safety, the growth expectations for the AI-based intelligent surveillance market have translated into successful public offering momentum.

According to the investment banking (IB) industry on the 22nd, Intellivix closed its public subscription for general investors on this day. The subscription competition ratio was recorded at 1,410.88 to 1, with deposits totaling 3.9681 trillion won. Of the 2.5 million total shares offered, 625,000 shares, or 25%, were allocated to general investors. Mirae Asset Securities is serving as the lead manager, and the company is scheduled to list on the KOSDAQ market on the 30th.

Institutional interest was first confirmed during the demand forecasting phase. During the demand forecasting held from the 12th to the 16th, 2,357 institutions participated, resulting in a competition ratio of 1,234.30 to 1. Excluding 25 institutions that did not provide price bids, all institutions proposed prices at or above the upper end of the target band (7,600–9,000 won), leading to a final offering price of 9,000 won. The total number of requested shares was 2.31432 billion, amounting to approximately 20.8648 trillion won based on the offering price.

In contrast, the mandatory holding commitment ratio based on the quantity of shares requested during demand forecasting appeared low at 6.14%. Notably, among the shares committed to being held (142.18 million shares), those committed for 15 days accounted for 72%, suggesting that the high enthusiasm for participation in the offering did not necessarily translate into intentions for long-term holding.

According to the registration statement, the volume of shares available for distribution immediately after listing is 2,715,067 shares, which is 23.95% of the total shares scheduled to be listed. The initial distribution burden appears limited due to the long-term mandatory holding requirements of the largest shareholder and major management. However, there remains a possibility of equity dilution due to the exercise of rights, including 578,161 shares issuable through unexercised stock options and 187,500 new share subscription rights granted to the lead manager, Mirae Asset Securities.

Meanwhile, Intellivix submitted several commitments during the preliminary listing examination to strengthen its governance and internal controls. The largest shareholder, Kim Yong-sik, who holds a 35.49% stake after the offering, has agreed to not involve himself in management in principle for three years following the listing, thereby ensuring the independent decision-making of professional management, including CEO Jang Jeong-hoon.

Additionally, the company plans to strengthen controls over transactions with related parties, expand the management monitoring functions of independent directors, and check the implementation status of internal controls quarterly through external legal experts, disclosing the results. Following the listing, the fulfillment of these commitments is expected to be a major criterion for judging management transparency.

Intellivix Business Analysis

Founded in 2000, Intellivix is an AI video analysis specialist that supplies safety surveillance solutions to public institutions, local governments, and industrial sites. Its main business is divided into the AI surveillance platform (SW), AI surveillance infrastructure (HW), and services such as customized development and maintenance.

The core technologies are the self-developed video analysis engine 'VIX 2.0' and the generative AI surveillance platform 'Gen AMS'. While existing CCTV surveillance focused on video review and post-event response, Gen AMS detects dangerous situations such as fires, intrusions, and collapses in real time and supports follow-up responses. Through the safety AI agent 'VIXA', the company also provides situation analysis and automatic generation of surveillance logs.

In the hardware sector, the company supplies on-device AI equipment such as 'VIXone' and AI cameras like 'VIXcam'. In the first half of this year, the revenue composition was 58.05% for AI surveillance infrastructure, 38.21% for the AI surveillance platform, and 3.74% for services. While based on software technology, the structure shows that hardware accounts for a larger portion of actual revenue.

Sales are conducted through a combination of an in-house sales network and regional agencies or distributors. The company supplies solutions directly to large corporations and critical national facilities, and collaborates with system integration (SI) companies for large-scale projects such as smart cities and Intelligent Transport Systems (ITS). As of the date of the registration statement, the order backlog is approximately 12.9 billion won.

New growth areas include defense and physical AI. The company is pursuing the expansion of equipment supply for military security facilities using the all-weather AI camera 'VIXallcam' and the commercialization of the surveillance/reconnaissance robot 'ARGOS'. There are also plans to establish a recurring revenue base by expanding existing on-premise surveillance systems into cloud-based subscription services (VSaaS).

Overseas, the company is expanding its sales channels centered on local partners in Japan, Australia, and Southeast Asia. However, last year's exports amounted to approximately 300 million won, accounting for less than 1% of total revenue. As the primary customers are public institutions and local governments, the maintenance of public procurement-related certifications, such as designation as an excellent product by the Public Procurement Service, may affect business competitiveness.

Intellivix Performance and Fund Usage Plan

Intellivix has maintained external growth and a profitable trend over the past three years. According to the registration statement, Intellivix's revenue for last year on a non-consolidated basis was 46.6 billion won, an increase of 37.2% compared to the previous year. Operating profit also more than doubled to 4.9 billion won, and the operating profit margin rose from 6.8% in 2024 to 10.5% in 2025.

However, the trends in revenue and profitability diverged in the first half of this year. Revenue reached 23.4 billion won, an 8.2% increase compared to the same period last year, but operating profit was limited to 1.2 billion won. The operating profit margin also dropped to 5.2% in the first half of this year from 10.5% for the full year last year. Operating expenses grew faster than revenue, putting pressure on profitability.

Cash flow also deteriorated. The operating cash flow, which recorded a net inflow of 8 billion won last year, turned into a net outflow of 3.2 billion won in the first half of this year. Accounts receivable increased from 5.7 billion won at the end of last year to 9.5 billion won at the end of June this year, and inventory assets also expanded from 1.9 billion won to 3.5 billion won during the same period. It appears that the funds tied up in working capital increased during the process of revenue expansion.

The debt ratio decreased from 59.4% at the end of last year to 55.0% at the end of the first half of this year. However, a paid-in capital increase of approximately 4 billion won in the first half of this year also influenced the capital expansion.

Intellivix plans to invest the net proceeds of approximately 22 billion won raised through this public offering into advancing AI technology and business expansion. 17 billion won has been allocated to operating funds and 5 billion won to facility funds, which are scheduled to be executed in stages until 2028.

The largest portion is dedicated to R&D investment. A total of 13 billion won will be invested to enhance the performance of the AI safety surveillance engine and to promote the commercialization of all-weather AI cameras and surveillance/reconnaissance robots. Additionally, 4 billion won has been allocated to establishing overseas branches and securing order bases to target the Japan, Middle East, and Southeast Asia markets.

The 5 billion won in facility funds will be used to expand GPU/NPU-based computing infrastructure required for AI model training and video analysis, build data centers and Software as a Service (SaaS) operating platforms, and secure patents and certifications.

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