Japanese online lender is curious beast

Rakuten Bank

21/04/2023 03:53

(The author is a Reuters Breakingviews columnist.  The opinions
expressed are his own.)
    By Antony Currie
       MELBOURNE, April 21 (Reuters Breakingviews) - Rakuten
Bank shares jumped 33% in Tokyo’s largest IPO since 2018. Loans
only account for a third of its balance sheet, the government is
its biggest borrower and it buys lots of assets from its parent.
The pop reflects a thin supply of tech-savvy finance listings.  

    Full view will be published shortly.
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    CONTEXT NEWS 
      Rakuten Bank started trading on the Tokyo Stock Exchange
on April 21 at 1,865 yen a share, 33% above the top-of-the-range
1,400-a-share set for its initial public offering. Shares were
trading at 1,925 yen at 11:29 AM local time. The Japanese online
lender and underwriters led by Daiwa Securities had previously
reduced the price range from 1,630 yen to 1,960 yen per share. 
    The listing valued the company at $1.75 billion and raised
$625 million. Its parent is Rakuten Group, a publicly traded $8
billion conglomerate which owns more than 70 businesses,
including e-commerce, a mobile phone carrier, credit cards, a
credit card outfit and a securities firm. Rakuten Group retains
an almost 65% stake in the bank.

 (Editing by Pete Sweeney and Thomas Shum)
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