Minimum Fundraising Target of Over 500 Billion Won
Engaging Overseas Investors
Corporate Valuation Expected to Surpass 10 Trillion Won
[Asia Economy Reporter Minwoo Lee] Comprehensive financial platform Toss is planning to raise additional investment. With funds potentially reaching up to 1 trillion KRW, Toss's corporate value is expected to surpass 10 trillion KRW significantly.
According to industry sources on the 23rd, Toss operator Viva Republica recently began pre-IPO equity investment efforts worth up to 1 trillion KRW. The funds are expected to be primarily raised from overseas investors. A Viva Republica representative stated, "We plan to raise at least 500 billion KRW," adding, "Instead of holding domestic investor briefings, we will conduct individual presentations targeting overseas investors."
Through this investment, Toss's corporate value is expected to clearly exceed 10 trillion KRW. When Viva Republica completed a 460 billion KRW investment round last June, its corporate value was 8.2 trillion KRW. Since then, with the launch of the internet-only bank Toss Bank, the corporate value is anticipated to far exceed 10 trillion KRW. On the over-the-counter market, Toss's corporate value is already recognized at 20 trillion KRW.
This investment will be the last before Toss proceeds with its full-scale IPO. The company has already selected foreign securities firms Morgan Stanley and Credit Suisse (CS) Securities as its IPO underwriters.
Previously, in 2018, Toss became the first domestic fintech (finance + technology) unicorn (a private startup valued at over 1 trillion KRW) with a corporate value of 1 billion USD (1.2 trillion KRW). In about four years, it has reached 'decacorn' status, meaning a corporate value of 10 billion USD (12 trillion KRW). The rapid growth of Toss Bank appears to have been a key factor. Since its launch in October last year, Toss Bank has gained popularity by surpassing 2.35 million subscribers within five months. It is also expanding overseas. Toss Vietnam was established in 2019 and has been actively operating since last year, already exceeding 3 million monthly users.
Meanwhile, this investment is expected to attract mainly overseas investors. Last year, the state-run KDB Industrial Bank and US investment firm Alkeon made major investments of 100 billion KRW and 84 billion KRW respectively. Existing Toss investors such as Altos Ventures and Greyhound also participated.
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