S.Korea's Kakao Pay cuts IPO target by 6% to US$1.3bil

SEOUL: South Korean fintech company Kakao Pay Corp cut its planned initial public offering (IPO) target to up to 1.5 trillion won ($1.29 billion) from a previously announced 1.6 trillion won, it said on Tuesday.

The adjustment from the company backed by Chinese e-commerce company Ant Group follows a Financial Supervisory Service (FSS) request for it to resubmit its IPO registration statement last month.

The fintech firm, a unit of South Korea's top mobile messaging service company Kakao Corp, also cut the indicative per share price range for the offering, which comprises 17 million new shares, to 60,000-90,000 won from 63,000-96,000, the regulatory filing showed.

Kakao Pay provides financial services including money transfers, savings accounts and asset management.

The company, 55%-owned by Kakao Corp and 45% by Ant Group's Alipay, estimated its value at 11.7 trillion won, according to the filing.

It aims to list on Oct 14 and the main underwriters for the deal are Samsung Securities, JP Morgan, and Goldman Sachs. - Reuters