From The Japan Times · No Author · · 1m 10s
SmartNews plans December Tokyo IPO as valuation drops
SmartNews aims for December Tokyo IPO at $317m valuation after AI hurt business.
In brief
SmartNews aims for December Tokyo IPO at $317m valuation after AI hurt business. SmartNews plans December IPO at ¥50 billion ($317 million) after AI reduced its valuation from $2 billion. Originally reported by The Japan Times.
SmartNews plans December IPO
SmartNews is planning an initial public offering in December at a fraction of its previous valuation.
Target valuation $317m
The Tokyo-based company seeks a market value of about ¥50 billion ($317 million) in the potential IPO.
Valuation dropped from $2bn
That compares with a valuation of $2 billion in a Series F funding round in 2021.
AI hurt business model
SmartNews said AI hurt its business model, leading to a potential IPO.
Failed trade sale
SmartNews considered a trade sale but failed to find a buyer at its target valuation.
Hired lead managers
SmartNews hired Mitsubishi UFJ Morgan Stanley Securities and Nomura Holdings as lead managers for the deal.
IPO timeline uncertain
Deliberations are ongoing, and details such as the timing and valuation could change.
The headline
SmartNews plans December IPO at ¥50 billion ($317 million) after AI reduced its valuation from $2 billion.
