Early last month, there were reports that Korean online gaming company Nexon was planning to launch a ¥100 billion ($1.3 billion) initial public offering on the Tokyo Stock Exchange. Today, Nexon has finalized its IPO and is looking to raise ¥91 billion ($1.2 billion). Reuters reports that the IPO is expected to launch on December 14, with shares going at ¥1300 ($16.68) each.
"There are not that many Japanese companies with overseas growth stories. That makes it attractive," said Toru Hashizume, chief investment officer at Stats Investment Management.
At the IPO’s launch, Nexon is hoping for a combined market value of ¥560 billion ($7.2 billion). Japanese mobile gaming company GREE listed at around the same value three years ago, and has seen its stock jump more than 7 times since that listing. Nexon’s price is more conservative than previously estimated, with some investors believing it was due to the recent hack of Nexon’s flagship title, MapleStory.
"There has been increasing caution among investors, which is why it did not come in at the top of the 1,200-1,400 yen range," said Takashi Matsumoto, a director at Okasan Securities.
