Kakao Pay Cuts IPO to $1.3 Billion As Valuation Concerns Grow
- Regulators asked the startup to revise its IPO prospectus
- Krafton’s lukewarm debut has soured sentiment domestically
The Kakao Pay Corp. application
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Kakao Pay Corp., South Korea’s largest online payment service, lowered its targeted initial public offering to $1.3 billion at the behest of Korean regulators concerned about soaring tech valuations.
The fintech startup follows PUBG-developer Krafton Inc. in scaling back IPO targets after regulators questioned tech valuations and comparisons with high-flying overseas peers. The Pangyo-based company is now seeking to sell 17 million shares at a lowered range of 60,000 won to 90,000 won, versus a previous 63,000 to 96,000 won.