The IPOX® Update 2/19/24

Naver Plans US IPO for Webtoon Business

Naver Corp. is planning a US IPO for its webtoon business, targeting a valuation of $3-$4 billion. Enlisting Goldman Sachs and Morgan Stanley to manage the IPO, Naver aims for a summer debut, potentially raising up to $500 million. The listing, possibly as early as June, will highlight webtoons as a significant Korean cultural export. With competition increasing from Apple and Amazon, Naver Webtoon, which includes the online comics platform and Wattpad, seeks to expand internationally despite an expected slowdown in content division growth to 12.9% in 2024. (Source)

Viking Cruises Weighs US IPO of $500 Million or More

Viking Cruises, founded in 1997 by Torstein Hagen and headquartered in Basel, Switzerland, is considering a US IPO to raise $500 million or more. The potential listing, which could occur as soon as the second quarter, is being worked on by Bank of America, JPMorgan, UBS, and Wells Fargo. Details on the size and timing of the IPO are still under discussion. Viking Cruises operates globally, offering river, lake, and ocean cruises, and is backed by TPG and Canada Pension Plan Investment Board, with about $4.7 billion in debt. (Source)

Neo4j Plans IPO on Nasdaq

Neo4j, a maker of graph database and data science tools, plans a Nasdaq IPO, signaling a robust market presence with over 75% of Fortune 100 companies as clients. The company's valuation could approach $2.5 to $3 billion, according to Greenbridge's founder. This move comes as the IPO market rebounds, with $7 billion raised in the US this year, doubling last year's pace. Greenbridge holds a 21% stake in Neo4j and competes with major players like MongoDB, Snowflake, and sees Databricks, TigerGraph, Amazon as peers. Greenbridge also plans IPOs for Nstech FS and Divergent Technologies in 2025. (Source)

eHi Car Services Eyes $300 Million US IPO

eHi Car Services, a Chinese car rental firm, is considering a $300 million US IPO, potentially occurring this year. Previously delisted from NYSE in 2019 after a $850 million take-private deal, the firm is in early stages of deliberation regarding the IPO size and timeline. Advised by CICC, Deutsche Bank, JPMorgan, and UBS, eHi's move follows an increase in its dollar bond value post-IPO news. Operating in over 500 Chinese cities with more than 80,000 vehicles, eHi aims to capitalize on its extensive network and previous $120 million raise in a 2014 US IPO. (Source)

Inspire Brands Considers IPO for Dunkin' Donuts and Buffalo Wild Wings

Inspire Brands, owned by Roark Capital and encompassing Dunkin’ Donuts, Arby’s, Baskin-Robbins, Buffalo Wild Wings, Sonic, and Jimmy John’s, is discussing a potential listing in late 2024 or 2025. This follows previous public trading of Dunkin' and Buffalo Wild Wings before their acquisition by Roark, which also holds stakes in Auntie Anne’s, Cinnabon, Jamba, and The Cheesecake Factory. Analysts see this move as potentially beneficial for the sector, anticipating post-pandemic and post-inflation gains in 2024-2025. Inspire Brands would compete with major entities like Restaurant Brands International and Dine Brands. (Source)

Euronext CEO Optimistic About IPO Market Revival in 2024

Euronext CEO Stéphane Boujnah expresses optimism for the IPO market revival in 2024, following a 3.9% revenue increase in 2023 for the pan-European exchange group. Changes in interest rates and capital costs are driving private investors towards public exits, mirroring positive sentiments in the U.S. as indicated by Goldman Sachs analysts and Nasdaq's new IPO Pulse Index. This anticipation of a revival to 2021 levels showcases a growing confidence in the IPO market's potential for recovery. (Source)

European IPO Market Sees End to Drought with Successful Listings

The European IPO market is witnessing an end to a prolonged drought, with successful listings particularly in the defense sector, mirroring the AI hype in the US. Notable IPO performances from companies such as Renk and Athens International Airport have set the stage for major IPOs expected before summer from firms like Douglas and Galderma. Financial investors across Europe are gaining confidence for larger listings, with Spanish firms Puig and Hotelbeds also planning to go public in the first half of the year. This revival signals a positive shift in the market dynamics, fostering optimism for future IPO activities. (Source)

Saudi Deal Activity Set to Accelerate with Public Investment Fund Initiatives

Deal activity in Saudi Arabia is anticipated to increase, propelled by initiatives from the Public Investment Fund (PIF) aimed at raising funds through debt and equity capital markets for Vision 2030 projects. SNB Capital, a leader in advising on Saudi IPOs and significant transactions, forecasts a rise in mergers, acquisitions, and IPO activities in 2024. Despite a global downturn, the Saudi and UAE markets are expected to remain vibrant for IPOs, thanks to a strong IPO performance in the Middle East in 2023 amidst global and regional challenges. A surge in Saudi share trading further signals robust market momentum and IPO preparation. (Source)

Saudi Global Ports Eyes Riyadh IPO

Saudi Global Ports, co-owned by the Public Investment Fund (PIF) and Singapore’s PSA International, is considering an IPO in Riyadh. The timing and size of the IPO are still under review, with plans for late 2024 or early 2025. This move is part of PIF's strategy to support Saudi Vision 2030, aimed at reducing oil dependency. Saudi Global Ports, which manages key terminals in Dammam and Riyadh Dry Port, is part of Saudi Arabia's plan to invest $147 billion in transport and logistics by 2030. The active IPO market in Saudi is supported by high oil prices and global investor interest. (Source)

Auntea Jenny Plans Hong Kong IPO

Auntea Jenny, a Chinese fruit tea maker, plans to list in Hong Kong, with CITIC Securities, Haitong International, and Orient Capital as sponsors. The company's revenue grew to CNY 2.54 billion ($355.6 million) in the nine months to Sept. 30, 2023, from CNY 1.64 billion ($229.6 million) in the previous period. With gross merchandise value increasing to CNY 7.18 billion ($1.005 billion), Auntea Jenny joins rival tea chains in the IPO market, indicating a strong interest and growth potential in the sector. (Source)

China Securities Regulator Tightens IPO Supervision

The China Securities Regulatory Commission (CSRC) terminated 45 IPO applications in 2023 to enhance supervision. The terminations, which included 43 voluntary withdrawals, one failure in regulatory review, and one delay in supplementary materials, were spread across Shanghai, Shenzhen, and Beijing Stock Exchanges. The CSRC has fined S2C CNY4 million ($555,900) for a fraudulent IPO application, highlighting the commission's intent to thoroughly investigate issuers and intermediaries for major legal violations, even after IPO withdrawal. This move underscores China's commitment to maintaining a transparent and regulated IPO process. (Source)