KakaoPay Securities receives approval for securities dealing business, opening the door to IPO underwriting
KakaoPay Securities has received approval from the financial authorities for its securities dealing business. With this approval, it can directly underwrite, trade, and sell securities, laying the groundwork for entering investment banking businesses such as IPO underwriting, public offering subscriptions, and bond management.
KakaoPay Securities said it had 13obtained approval for its securities dealing business. The approval was granted following the additional registration of a financial investment business unit (1-1-1 securities dealing and securities).
The financial authorities approved KakaoPay Securities’ application for additional registration on the 1 of this month. With the approval, KakaoPay Securities can now directly underwrite, trade, and sell securities.
The company said the approval will give it a foundation to link its existing retail base with its investment banking businesses. The idea is that its retail customer base, centered on brokerage, can be combined with product underwriting and management using its own capital.
The reports said the company could expand its business scope into IB operations such as IPO underwriting, public offering subscription underwriting, and bond management. No disclosure has yet been made on the specific timing of business launch or the first underwriting contract.
With this approval, KakaoPay Securities has secured the authority to officially carry out investment and underwriting activities using its own capital, beyond securities brokerage. The company is proceeding with related procedures and internal preparations.