Musinsa, a fashion platform operator long considered a "big fish" in the initial public offering (IPO) market, has moved to formalize its KOSPI listing process.
According to the Korea Exchange (KRX) and others on the 7th, Musinsa on this day filed for a preliminary review for a KOSPI listing with the KOSPI division of the Korea Exchange (KRX).
The target is to list in the first half of next year, with Korea Investment & Securities Co. and Citigroup Global Markets Securities serving as lead underwriters. In addition, KB Securities and J.P. Morgan were named as joint bookrunners.
Musinsa began in 2001 as an online sneaker community and grew into Korea's largest fashion-dedicated platform. Last year it posted 1.3529 trillion won in revenue and 145.8 billion won in operating profit.
The fact that it is undergoing a National Tax Service audit is cited as a hurdle to listing. The Investigation Bureau 4 of the Seoul Regional Tax Service is said to have recently launched a special tax audit into Musinsa.
The listing valuation is also drawing market attention. Musinsa is said to be internally targeting a maximum listing valuation of 10 trillion won.
An official in the financial investment industry said, "Considering the recent KOSPI market mood and investor protection, Musinsa and the underwriting syndicate are expected to propose a listing valuation of around 8 trillion won."
Meanwhile, the largest shareholder of Musinsa is Board Chair Cho Man-ho, who holds 51.75% equity. Financial investors (FI) include Sequoia Capital, KKR, IMM Investment, and Wellington Management.