Coupang Points Method for More Korean Start-ups to Head out Public in U.S.

Coupang might have opened the gates for more Korean start-ups in to the U.S. following the e-commerce organization went consumer in the New York STOCK MARKET last week.

For start-ups, the NYSE includes a lower entry barrier compared to the Korean bourse as it can be done to go community in New York if growth probable can be proven.

The Wall Street Journal reported that Korean grocery delivery software Market Kurly is also considering going public in New York. "We are thinking about all possibilities, whether Korea or the U.S.," a firm spokesman said last Friday.

Coupang successfully made its debut with the major IPO since Uber found in 2019.

Korean travel software Yanolja, which includes been functioning towards the purpose of going public on Korea this season, might change its plan and switch to the U.S. rather. Its value, approximated at around W3 to 5 trillion in Korea, might rise to W10 trillion in the U.S. (US$1=W1,137).

Coupang, which started trading in US$35 previous Thursday, closed your day at an impressive $49.25 after peaking at $69 at one level in trading. That is a 41 percent rise from the initial IPO selling price and the largest IPO for a overseas enterprise since China's e-commerce giant Alibaba in 2014.

Coupang's market capitalization towards the end of the first moment on March 11 was $88.65 billion or W100.4 trillion, second and then Samsung Electronics' W489 trillion in Korea, and before previous runner-up SK Hynix's W99 trillion. That's also over seven circumstances the combined marketplace capitalization of Korea's three major retail giants Shinsegae, Lotte and Hyundai, which is normally W13.5 trillion.

Coupang was described by the Wall structure Street Journal seeing that "the Amazon of Korea," the New York Situations described it as "a good start-up founded by a good Harvard Business College dropout [CEO Kim Bom-suk]."

"In a region where people are enthusiastic about... getting things performed quickly, Coupang has become a household brand by offering 'next-moment' and even 'same-evening' and 'dawn' delivery of groceries and millions of other things at no extra fee," the paper said.

However, going open public in New York is no assurance of a bright future. Ten additional Korean corporations preceded Coupang, and nine acquired delisted. The only one to survive is video gaming company Gravity.

Lim Jung-wook at capital raising company TBT said, "So that you can flourish in the NYSE, it is advisable to maintain a huge scale of business and sales, in addition to a high level of communication with overseas shareholders. There are a growing quantity of Korean start-ups with global potential, so we will have an increasing number of Korean unicorns go to the U.S."