SEOUL, July 1 (Korea Bizwire) — Krafton Inc., the company behind the global hit video game “PlayerUnknown’s Battlegrounds” (PUBG), said Thursday it has decided to lower the pricing range of its planned initial public offering (IPO) amid controversy over overvaluation.
The company said it has submitted a revised IPO application to the Korea Exchange under which it cut IPO pricing band at between 400,000 won(US$353) to 498,000 won, from a range of between 458,000 won and 557,000 won.
With the lowered pricing band, Krafton aims to raise as much as 4.3 trillion won via the planned IPO, compared with the previously targeted 5.6 trillion won.
Financial authorities have requested additional information and revisions to the plan, which would have made it the largest-ever IPO in the country at the top of the range.
Krafton said it now plans to sell 8.65 million shares, or 5.62 million new shares and 3.03 million existing shares. Its IPO is scheduled for August.
Established in 2007, Krafton became a major contender in the global video market after the launch of PUBG in 2017.
The battle royale style game, in which users fight to remain as the last person alive, has been hugely popular worldwide, with Krafton selling over 75 million copies of the game for PCs and consoles.
The mobile version of the game has racked up over 1 billion downloads globally, excluding China.
Krafton said it seeks to strengthen its intellectual property portfolio and is planning mergers and acquisitions of promising companies via the IPO.