An initial public offering may take place in the first half of 2021.
The fintech division of the South Korean internet giant Kakao Corp. – Kakao Pay – plans to conduct an initial public offering (IPO). Information about this appeared in the media.
If plans are implemented, Kakao Pay will become the first South Korean fintech company to go public with a focus on mobile payments. The organization’s valuation then can be $8.5 billion.
According to media reports, the company’s representatives plan to use the initial public offering to enter new areas of business. For example, to get started in the digital insurance market.
The organization’s representatives commented on the upcoming IPO:
“Some details may change, such as market conditions. In any case, we are preparing for a public offering in the first half of next year”
The exact time of the public offering of shares is unknown. Also, there is no data on the exchange that the organization’s representatives are targeting. The media suggested that the company’s specialists may choose one of the largest South Korean trading platforms, or the American Nasdaq, for the placement of shares.
According to The Paypers, as an advisor to Kakao Pay during the IPO, the organization hired KB Securities Co. Also, representatives of the organization submitted a request to the local Financial Supervision Service (FSS) to appoint an auditor.
Per data in October 2020, Kakao Pay, launched in 2014, serves 34 million users. According to media reports, taking this into account, it’s possible to name the fintech division of Kakao Corp. the largest mobile platform targeting home users. With Kakao Pay, customers can make money transfers, pay bills, and manage assets.
As a reminder, the Kakao team is involved in the development of the crypto industry. Among other things, the company’s developments are used by the largest electronics manufacturer – Samsung.