Super Bank Achieves Market Cap of 2.4 Trillion Won
Over 1 Million Subscription Orders Received
Yoon Ho Young: "Building a Global Digital Banking Network to Secure Long-Term Growth Drivers"
On the 17th, at the Indonesia Stock Exchange (IDX) in Jakarta, Indonesia, employees of Kakao Bank and Super Bank are taking a commemorative photo at the 'Super Bank Listing Ceremony.' Provided by Kakao Bank
Kakao Bank announced on the 18th that its first global investment destination, the Indonesian digital bank Super Bank, has been successfully listed on the Indonesia Stock Exchange (IDX).
On its first day of listing, Super Bank's corporate value was estimated at approximately 2.4 trillion won. This represents about a 2.6-fold increase compared to the 900 billion won valuation at the time of Kakao Bank's initial investment in Super Bank in 2023. The value of Kakao Bank's stake has also risen significantly. Kakao Bank invested a total of 114 billion won in Super Bank over two rounds in 2023 and last year, and following the listing, the value of its stake is expected to reach about 204.4 billion won.
Super Bank received over 1 million subscription orders, resulting in a competition ratio of 318 to 1. On the day of listing, its share price surged, hitting the upper limit at about 25% above the initial public offering price of 635 rupiah per share. The fact that Super Bank succeeded in going public just one year and six months after its launch is attributed to Kakao Bank's distinctive "global expansion strategy."
In October 2023, Kakao Bank formed a strategic partnership with Grab for its Southeast Asian business and made an equity investment in Super Bank. Unlike the traditional approach of mergers and acquisitions (M&A), Kakao Bank focused on a technology-driven strategy. Departing from the existing practice of entering Southeast Asia through M&As of small local banks, Kakao Bank opted to transfer its core mobile technology. As a result, Kakao Bank succeeded in taking Super Bank public and achieving profitability within two years.
Since Super Bank's launch, Kakao Bank has closely collaborated in various fields, including product and service launches, mobile application interface (UI), and user experience (UX). Beyond simple equity investment, Kakao Bank has leveraged its successful mobile banking experience and technological strengths to advise Super Bank in delivering innovative financial services. Super Bank turned a profit in the first quarter of this year and is continuing its growth, now serving more than 5 million customers.
Kakao Bank plans to accelerate its global expansion, using its successful collaboration with Super Bank as a springboard. The company intends to expand not only into other Southeast Asian countries but also into additional regions, moving beyond equity investment to take the lead in building mobile financial systems.
For the virtual bank in Thailand, which is preparing to launch services after obtaining approval in June, Kakao Bank will take the lead not only in products and services but also in mobile app development. The company will also continue its collaboration with Grab to seek further synergies.
Yoon Ho-young, CEO of Kakao Bank, stated, "We have demonstrated our competitiveness and potential for global business expansion by establishing an optimized global expansion model," adding, "As Kakao Bank is gaining attention as a successful model for the bank of the future in the global market, we will build a global digital banking network to secure mid- to long-term growth drivers."
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