South Korea: Upbit Partner K Bank Eyes $3.7B IPO
Tim Alper is a British journalist and features writer who has worked at Cryptonews.com since 2018. He has written for media outlets such as the BBC, the Guardian, and Chosun Ilbo. He has also worked...
K Bank, the South Korean neobank that partners with the market-leading crypto exchange Upbit, is inching toward a $3.7 billion initial public offering (IPO).
The media outlet Sejung Ilbo reported that the bank’s CEO has “expressed confidence” that “the IPO will be successful.”
The bank reportedly decided to boost capital by issuing 41 million new shares at a board meeting held earlier this month.
This move, K Bank executives hope, will help it raise some $265 million worth of capital.
Domestic securities industry insiders, the media outlet said, are calling K Bank’s move the “biggest IPO (initial public offering) in the second half of this year.”
However, the bank must first pass a “preliminary screening” process ahead of listing on the Korea Exchange (KRX).
The bank’s user base began to shoot up during the coronavirus pandemic, due largely to its Upbit banking deal.
Under South Korean law, all domestic crypto exchange customers must have real name-verified, social security number-linked bank accounts at a partner bank.
Upbit’s deal meant that its users could open platform-linked bank accounts online, rather than visiting bank branches in person.
This helped Upbit surpass its rivals and become the overwhelming market leader. And it also drew thousands of younger customers to K Bank’s platform.
The bank wants to use this wide user base as a springboard for its IPO bid, which it hopes to complete before the end of 2024.
The media outlet pointed out that K Bank has the largest market capitalization and public offering amount among all
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