Dunamu to pursue IPO following stock exchange with Naver Financial

Dunamu, the operator of the cryptocurrency exchange Upbit, has announced plans to pursue an initial public offering (IPO) following a comprehensive stock exchange with Naver Financial. While the specific country or method for the listing has not been finalized, there is significant market speculation regarding a potential Nasdaq listing via American Depositary Receipts (ADRs). To facilitate this, Dunamu has reportedly completed the process of converting its financial statements to US GAAP.

The stock exchange agreement values Dunamu at approximately 15 trillion won and Naver Financial at approximately 5 trillion won. Under the terms, one share of Dunamu will be exchanged for 2.54 shares of Naver Financial. A shareholders' meeting is scheduled for November 19, with the exchange expected to be completed by December 31.

Several variables remain for the transaction. If the total cost of purchasing shares from dissenting shareholders exceeds 1.2 trillion won, either company may cancel the agreement. Additionally, existing Dunamu shareholders will receive unlisted Naver Financial shares, which may impact liquidity. While the deal will make Dunamu a wholly-owned subsidiary of Naver Financial, it is not expected to immediately change the operational methods of the Upbit exchange.