South Korean AI Cloud Firm Elice Tanks 33% in Debut, Reigniting Investor Doubts Over Infrastructure Boom

Elice Inc., a South Korean data-center infrastructure provider, plunged 33% on its stock market debut Tuesday, marking the worst opening day for a major Korean initial public offering and signaling renewed investor skepticism about the sustainability of the artificial-intelligence infrastructure spending boom. The Seoul-based neocloud company, which raised 201 billion won ($151 million) at the top of its marketed price range, fell to around 61,000 won from an offering price of 90,500 won in early trading on Kosdaq, Asia's tech-heavy exchange. The collapse reversed a striking display of retail demand—the offering attracted 408 times subscription from individual investors—but failed to overcome institutional wariness about AI infrastructure valuations and financing costs.