Stock code CPNG… The public offering was entered at $35
$63.5, up 81% from the beginning
Deadline at $49.52… I shot a market cap of 100 trillion won
Coupang, an e-commerce (e-commerce) company, made a splendid debut on the New York Stock Exchange (NYSE). The public offering, which exceeded the top of the hoped price ($32-34), entered the market at $35, and then ended the first day by jumping more than 40%. Coupang’s Bum-Seok Kim, Chairman of the Board of Directors, poses in front of the exchange. /Photo = AP
Coupang, an e-commerce (e-commerce) company, made a splendid debut on the New York Stock Exchange (NYSE) on the 11th (local time). The public offering that broke the top of the hoped price ($32-34) ended the first day by soaring more than 40% after entering at $35.
Coupang shares, listed on the New York Stock Exchange (NYSE) on the 11th, ended at $49.52, up 41.49% ($14.52) from the public offering price of $35.
On this day, the initial price of Coupang started the market at 63.5 dollars, up 81.4% from the public offering price. Accordingly, the market cap once soared to $9.97 billion (about 111 trillion won), exceeding $100 billion. However, after that, the share price gradually decreased and fell below $50 at the last minute.
According to Yahoo Finance, Coupang’s market cap was estimated at $8.85 billion (about 10.04 trillion won) based on the closing price. In terms of the public offering price ($63 billion, about 72 trillion won), it fell below SK Hynix (about 99 trillion won), but on the first day it surpassed it. Among the listed companies in Korea, only Samsung Electronics (market cap of 489 trillion won) has a higher market capitalization than Coupang.
Coupang surpassed the record of the dating app (operating program) Bumble ($2.15 billion) last month based on the size of the public offering, and became the largest IPO in the US stock market this year. It is also the largest foreign company since the listing of Chinese information technology company Alibaba ($168 billion) in 2014.
In addition, Coupang will have 5 trillion won worth of live ammunition by listing. Earlier, Coupang announced that it would issue 130 million shares (Class A common stock) of 130 million shares (Class A common shares), more than originally planned (120 million shares), by revealing the offering price ($35). Accordingly, the listing will raise new funds of $4.55 billion (approximately 5.17 trillion won).
Photo = AP
Big news is expected to continue both inside and outside Coupang. The most notable is the SoftBank Vision Fund (hereinafter referred to as SoftBank) of Japan’s Softbank Group, led by Chairman Son Jeong-eui. Softbank invested 3 billion dollars in Coupang in both 2015 and 2018, and holds a 33.1% stake (based on the sum of Class A and B).
In the past, Coupang’s massive deficit at the time of investment was criticized for “pouring water into the bottomless poison,” but it is now considered a successful case of startup investment.
After listing, considering both class A and B common stocks, SoftBank 33.1%, Greenox 16.6%, Neil Meta 16.6%, and founder Kim Bum-seok, Chairman of the Board of Directors, 10.2%.
Employees’ stock option stocks are also a concern. According to the listing application document filed with the Securities and Exchange Commission (SEC) of Coupang, Coupang’s stock option shares are 65.7 million, 3982 shares, and the average strike price is only $1.95 (about 2,200 won). For example, Tuan Pam, Chief Technology Officer (CTO) from Uber, who was hired last year, received a stock option worth $27.44 million.
Reporter Oh Jung-min Hankyung.com [email protected]
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