Affin Taekwang Brokerage has reported on the recent developments on the Korean Softbank-backed Coupang as they raise over $4.2 Billion in their U.S. initial public offering.
Seoul, SOUTH KOREA -- Finance executives at Affin Taekwang Brokerage have reported on South Korea's e-commerce giant, Coupang LLC, selling shares in its initial public offering (IPO) at $35 apiece, above its target range, raising $4.2 billion.
Thomas Chambers, Global Equities Director at Affin Taekwang Brokerage, reported, "The IPO gives Coupang a market value of $60 billion. It aimed to sell 120 million shares at a target price range of $32-$34 per share, boosted from the initial $27-$30 it announced last week."
Coupang's IPO is the biggest share offering in the U.S. so far this year, topping the $2.15 billion raised by popular online dating app Bumble Inc last month. It also represents a major increase in Coupang's valuation, which was $9 billion in a fundraising round in 2018, according to analysts at Affin Taekwang Brokerage.
Coupang was founded in 2010 by Korean-American billionaire Bom Suk Kim. The company has aggressively increased its delivery and logistics service across the country, bringing 70% of its population within a seven-mile radius of its fulfilment centers. Coupang has also invested in emerging business lines like food delivery and online streaming.
"Last year, Coupang's net sales jumped 91% year-on-year to $11 billion. Net losses lowered to $567.6 million from $770.2 million posted in 2019," reported Executive Financial Director at Affin Taekwang Brokerage, Samuel Watson.
Softbank's Vision Fund is the largest shareholder of Coupang, which holds 35.1%. The Japanese conglomerate will receive around $16 billion from the IPO. This will strengthen the reputation of founder Masayoshi Son for picking successful startups even after a few failures.
Coupang's shares will begin trading on the New York Stock Exchange on Thursday under the ticker "CPNG." Lead underwriters for the offering are Allen & Co, Citigroup, Goldman Sachs and JP Morgan.
Company Name: Affin Taekwang Brokerage
Contact Person: Chi Song-Ho
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Country: South Korea