Webtoon Entertainment, described as the world’s largest web comic platform, is preparing for its debut on the US market with an initial public offering (IPO) aiming to raise significant capital. Owned by South Korean tech giant Naver, Webtoon Entertainment has valued itself at $2.67 billion ahead of its listing on the Nasdaq stock exchange, scheduled for June 27. Each share is set to debut at $21, at the top end of its marketed range.
Headquartered in Los Angeles, Webtoon Entertainment has thrived on the rising global popularity of Korean and Japanese comics, leveraging its platform to attract 170 million monthly active users across over 150 countries. The company plans to offer 15 million shares in its IPO, seeking to raise $315 million. Notably, BlackRock, the world’s largest asset manager, has expressed interest in purchasing up to $50 million worth of shares.
In addition to its flagship platform, Naver Webtoon, Webtoon Entertainment owns Line Manga, a Japanese web comic and manga app, as well as Wattpad, a web novel platform. These acquisitions expand its reach and diversify its content offerings, which span numerous genres such as action, romance, horror, and science fiction.
The webtoon industry, originating in South Korea two decades ago, has evolved into a global cultural phenomenon akin to K-pop and Korean dramas. Webtoons are specifically designed for mobile reading, optimized for online consumption without print distribution costs. This model allows for cost-effective production, with individual artists able to create content using digital tools like tablets, contributing to the profitability of popular comics.
In 2021, the webtoon industry generated $4.7 billion in revenue and is forecasted to grow significantly, projected to reach $60.1 billion by 2030 according to Spherical Insights & Consulting. This growth trajectory underscores the industry’s robust expansion driven by increasing digital consumption habits globally.
Webtoon Entertainment’s IPO signifies a pivotal moment for the webtoon industry, marking its entry into the US capital market amid strong investor interest and a compelling growth narrative.
