[Featured Stock] Kakao Games Surges Over 11% Following Lionheart Studio IPO Withdrawal

[Asia Economy Reporter Kwon Jae-hee] Kakao Games is showing a strong gain of over 11%. This is interpreted as a reaction to the announcement made the previous day that its key subsidiary and developer of the game "Odin," Lionheart Studio, is withdrawing its initial public offering (IPO).

As of 10 a.m. on the 14th, Kakao Games is trading at 39,100 KRW, up 11.87% compared to the previous trading day.

After the market closed the previous day, Lionheart Studio announced, "Considering the current domestic and international circumstances that make it difficult to properly evaluate the company's value, we have submitted a withdrawal report."

Originally, Lionheart Studio planned to finalize the public offering price through demand forecasting from the 28th to the 31st of this month and conduct subscription for two days starting from the 7th of next month, but it decided to withdraw these plans.

Lionheart Studio faced controversies over its overvaluation and overlapping listings within the Kakao affiliates. Additionally, the recent global interest rate hikes have created an unfavorable environment for growth stocks, causing Kakao group stocks to hit new lows consecutively, which is also seen as a burden.

This content was produced with the assistance of AI translation services.