According to Bloomberg, online lender K Bank has withdrawn its more than $700 million initial public offering in Seoul, which was originally scheduled to price on Friday and was scheduled to debut on October 30. A successful listing would make it South Korea's largest IPO in more than two and a half years, valuing the bank at up to 5 trillion won ($3.6 billion). The bank plans to resume its IPO early next year.
The withdrawal comes following concerns about its valuation and its reliance on deposits from cryptocurrency exchanges. K Bank has rapidly expanded its customer base through a partnership with Upbit, South Koreaâs largest cryptocurrency exchange, but its contract with the exchange expires in October next year. Upbitâs deposits accounted for 16.8% of K Bankâs total deposits as of the end of June. K Bank said in its IPO prospectus that failure to extend its partnership with a key strategic partner could weaken the competitiveness of its platform.
