Naver Webtoon Entertainment, the U.S. subsidiary of South Korean internet company Naver Corp., has filed for a U.S. initial public offering (IPO) and plans to list on the Nasdaq stock exchange.
The company operates a library of web novels and comics available in over 150 countries, allowing users to publish their own work on its platform. It connects 24 million creators with about 170 million monthly active users worldwide, and the medium has gained a reputation for producing content appealing to a broad audience.
Webtoons, the digital comic format used by Webtoon, have become one of South Korea's popular cultural exports, with examples such as Nevertheless (2021), My ID is Gangnam Beauty (2018), Weightlifting Fairy Kim Bok-joo (2016), and Cheese in the Trap (2016).
The company aims to raise up to $500 million through the IPO, with a potential valuation of $3 billion to $4 billion.
In 2023, Webtoon Entertainment had $1.282 billion in revenue, a net loss of $144.8 million, and an EBITDA of $11.7 million.
The underwriters for the IPO include Goldman Sachs, Morgan Stanley, JP Morgan, and Evercore.
CEO Kim Jun-koo aims to develop successful intellectual property franchises, and the contributions of fans, creators, and employees have been crucial to the company's achievements, marking a new beginning for Naver Webtoon.
Sources: Reuters, Bloomberg, Chosun, Korea Herald, Neowin, Lifestyle Asia, Yahoo Finance
This article was written in collaboration with Generative AI news company Alchemiq.
