Rakuten Bank shares face glut of buy orders in Tokyo debut after $625 mln IPO (updated)

Rakuten Bank

21/04/2023 01:26

(Adds background, details of buy orders)
       TOKYO, April 21 (Reuters) - Shares of Rakuten Bank Ltd
 5838.T  were untraded with a glut of buy orders in their market
debut on Friday, after the internet bank raised $625 million in
Japan's largest initial public offering (IPO) in more than four
years.
    Shares were flooded with buy orders at 1,470 yen, Tokyo
Stock Exchange data showed, a 5% premium to the IPO price of
1,400.
    Rakuten Bank priced its IPO at the top of its downsized
range this month, raising around 83.3 billion yen ($625
million), excluding a "greenshoe" option of additional shares.
    It had originally indicated a range of up to 1,960 yen a
share for the IPO but later cut that by almost 30%.
    Rakuten amended its IPO prospectus after investors pushed
for details on the risks from its exposure to money-losing
parent Rakuten Group Inc  4755.T , Reuters reported on Thursday
citing two people with knowledge of the matter. 
    The IPO marks a much-needed cash boost for e-commerce firm
Rakuten Group, which has seen four years of losses from the
costly build-out and struggles of its mobile phone business.

 (Reporting by David Dolan; Editing by Himani Sarkar)
 ((david.dolan@thomsonreuters.com; +81 3 4563 2708;))