Line, the Japan-based instant messaging platform spun out from Korea-headquartered internet company Naver, will raise $1.14bn from its initial public offering, the Wall Street Journal reported yesterday.
Line will issue 13 million shares on the Tokyo Stock Exchange and 22 million on the New York Stock Exchange, priced at the top of its ¥2,900 to ¥3,300 ($28.35-$32.25) range.
An additional 5.25 million shares are available for purchase by underwriters Morgan Stanley, Goldman Sachs, JP Morgan Securities and Nomura Securities through a greenshoe option which could potentially increase the size of the IPO to $1.3bn.
Launched in Japan in 2011, Line had 218 million monthly active users as of March this year, 152 million of which are located in Japan, Taiwan, Thailand and Indonesia. The company is perhaps best known for its online stickers which are based on its own branded cartoon characters.
Line intends to use the IPO proceeds to expand its business as it looks to grow its user base and secure more content for its service. It also plans to pay off about $410m in loans that are due between July and September 2016.
– Image courtesy of Line Corporation