Kakao Games Corp. posted record-high demand during its bookbuilding for institutional investors on August 25 and 26, according to the company's regulatory filing on August 31.
Bids outnumbered offers 1,479 to 1, marking the highest demand seen since bookbuilding was implemented in South Korea. The offering price will be 24,000 won ($20).
Some 1,745 institutions participated in the bookbuilding, with total demand for 16.7 billion shares. Of these: 1,366 institutions offered over 24,000 won, above the 20,000 won to 24,000 won price band; 108 institutions offered 24,000 won; and none offered below 24,000 won, although 271 did not indicate a price.
Among the total number of bids submitted, 58.6% agreed to lock-up provisions, ranging from half a month to six months. The subscription process for retail investors is set for September 1 and 2.
Kakao Games CEO Namkoong Whon speaks at the Aug 26 online conference
The company earned 27.8 billion won in net profit on revenues of 203 billion won in the first half of this year, up 264% and 8.2% year on year, respectively.
The company’s affiliates Kakao Page Corp., Kakao Commerce Corp., and Kakao Bank are also expected to prepare for listings.