Data released by consulting firm IR Kudos on Monday showed that the total fundraising from initial public offerings (IPOs) in South Korea's stock market reached 4.57 trillion won (approximately $3.19 billion) in 2025, climbing 14.9% from 3.97 trillion won in the previous year.

A total of 77 companies made their debuts on South Korea's KOSPI and KOSDAQ markets in 2025, slightly down from 78 in 2024.

LG CNS, the information technology subsidiary of LG Electronics, led the pack with the largest IPO of the year, raising 1.19 trillion won. DH Shipbuilding followed in second place, securing 500 billion won in its public offering.

"Against a backdrop of ample market liquidity, the momentum for large-scale IPOs is expected to stay strong next year, though new regulatory policies could still present a wildcard," IR Kudos noted in a press release.

Starting next year, institutional investors that commit to holding shares for a predetermined period will be allocated over 40% of IPO stocks, a significant increase from the current 20% allocation ratio.

This regulatory adjustment comes amid growing criticism that some institutional investors have been reaping quick profits by dumping IPO shares immediately on the first day of trading.