[Asia Economy Reporter Park Hyungsoo] KineMaster is showing strong gains day after day amid expectations of a successful sale.
As of 9:48 a.m. on the 24th, KineMaster is trading at 47,200 KRW, up 12.63% from the previous day. The price surged to the daily limit the day before.
According to the investment banking (IB) industry, Nomura Financial Investment, the sale advisor, plans to distribute the IM (information memorandum) soon. Considering the planned schedule, the preliminary bidding is likely to take place next month.
KineMaster operates its self-developed video editing app, 'KineMaster.' Since its launch in December 2013, the current monthly active users (MAU) and daily active users (DAU) of KineMaster are 70 million and 7.2 million, respectively. KineMaster is the second-largest player in the video editing app market, holding an 18% global market share. The largest user bases are in the United States and India.
In 2020, KineMaster ranked among the top five mobile video editing apps worldwide based on downloads. It was selected following Naver, Samsung, Mobirix, and Netmarble. As a result, KineMaster stood out as the fifth most downloaded domestic publisher globally in 2020.
As anyone can shoot videos with a smartphone, interest in video editing apps has grown. Recently, Korean startup Hyperconnect was sold to a U.S. company for 1.9 trillion KRW, causing KineMaster's valuation to soar. The market even mentions a price level around 1 trillion KRW.
Last year, KineMaster recorded sales of 29.8 billion KRW, operating profit of 4.2 billion KRW, and net profit of 2.5 billion KRW. Sales increased by 53% compared to the previous year, while operating profit and net profit rose by 1206% and 3900%, respectively.
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