- Fintech company Naver Financial announced its plan to acquire Upbit parent Dunamu for KRW 15.1 trillion under a stock-swap deal.
- Naver expects to expand its digital finance portfolio by integrating Dunami as a wholly owned subsidiary.
Naver Financial Corp., a subsidiary of IT giant Naver Corp., has disclosed its decision to acquire Dunamu Inc., the operating company of Upbit, on Wednesday. According to its disclosure, the financial services provider has agreed to close the deal for a total of KRW 15.1 trillion (around $10.27 billion at prevailing rates).
The Naver and Dunamu Deal
The parties plan to execute the acquisition via a stock-swap transaction at an exchange ratio of 2.54 Naver shares for each Dunamu share. Additionally, the fintech company revealed it will issue 87.56 million new shares for the occasion.
The exchange/transfer schedule will be on June 30, 2026. However, it will still be subject to the approval of both companies’ shareholders at a general meeting on May 22, 2026.
Naver stated that it aims to secure its future growth engines based on digital assets by incorporating Dunami as a wholly owned subsidiary.
Market Response
Citing provisions of Article 360-5 of South Korea’s Commercial Act, Naver asked shareholders who oppose the acquisition to submit their written positions within 20 days of the date of the general shareholders’ meeting. Additionally, the fintech corporation offered a buyback to the opposition at KRW 172,780 per share.
On the other hand, investors appeared to favor the latest developments as Naver stock saw a significant jump. Its share spiked by 4.15% or KRW 10,500 to KRW 263,500.00 at market close in the Korea Stock Exchange on Wednesday. The stock notably traded between a KRW 252,000 low and a KRW 264,500 high, from a previous close of KRW 253,000 and an opening of KRW 255,000.
The Upbit Case in South Korea
In related news, Upbit is currently facing 5.3 million in KYC (Know Your Customer) violations in South Korea. As a result, the Financial Intelligence Unit (FIU) slapped the country’s largest crypto exchange platform with a KRW 35.2 billion ($24 million) fine. It also imposed other sanctions, including a three-month freeze on the platform’s new customer acquisitions.
In response, Dunamu said it will internally review the allegations and explore legal remedies to overturn the regulator’s decision and penalties. Meanwhile, Upbit assured the public that it has reinforced its investor protection and will continue to operate within regulatory bounds to safeguard its users.
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