Hong Nam-ki, Deputy Prime Minister for Economy and Minister of Strategy and Finance [Image source=Yonhap News]
[Asia Economy Reporter Son Sunhee] Hong Nam-ki, Deputy Prime Minister and Minister of Economy and Finance, stated on the 14th regarding the news that South Korea's largest online shopping company, 'Coupang,' is pursuing a listing on the U.S. stock market, that it is "a great achievement for Korean unicorns (companies valued at over $1 billion)" and added, "In the post-COVID era, as the importance of innovation is emphasized more than ever before, the government will continue to make every effort to strengthen the venture and startup ecosystem."
On the same day, Hong posted on his social media, "Taking this opportunity of Coupang's pursuit of a U.S. stock market listing, we once again reaffirm the importance of revitalizing venture investment." Coupang recently submitted a registration statement to the U.S. Securities and Exchange Commission (SEC) for listing on the New York Stock Exchange (NYSE).
Hong emphasized, "If Coupang is listed on the U.S. stock market, it is significant as it means that Korean unicorn companies have been recognized for their global competitiveness," adding, "It signifies that Korea's unicorn companies and the growth potential of the non-face-to-face industry are being internationally acknowledged." In fact, major U.S. media outlets expect this Coupang listing to be the largest initial public offering (IPO) since Alibaba's in 2014, with a market value estimated to reach up to $50 billion (approximately 55 trillion won).
Hong stated, "Venture companies have grown to become key drivers of Korea's economic growth, comparable to traditional large corporations in various aspects such as employment and sales," and conveyed the government's efforts, saying, "The government has supported the growth of venture companies through expanding fiscal and financial support, institutional improvements such as limited allowance for general holding companies to own venture capital (CVC), and promoting the introduction of multiple voting rights."
He also urged, "We must not forget the importance of the 'Go Global' paradigm, which expands our perspective to the global market." Hong emphasized, "Especially after COVID-19, the expansion of the non-face-to-face industry will be an opportunity to break down border barriers," and added, "The government will continue to strengthen support for overseas expansion so that not only large corporations but also competitive small and venture companies can pioneer new markets abroad."
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