A promotional image of Yanolja / Courtesy of Yanolja
By Lee Yeon-woo
Yanolja has established a wholly-owned subsidiary in the United States in order to accelerate its move toward a Nasdaq listing.
According to industry sources on Monday, the travel platform operator set up a wholly-owned subsidiary named Yanolja US LCC in the U.S. state of Delaware in February. Yanolja’s first-quarter report states that the primary business activity of its U.S. subsidiary is listed as consulting, with a book value of 132.51 million won ($96,202).
Delaware, a state popular for its business-friendly corporate laws and tax system, is home to numerous global companies such as Apple and Amazon. The holding company of Coupang, Korea’s leading e-commerce company listed on the Nasdaq, is also located there.
Yanolja, which initially considered a listing on the domestic stock market, turned its attention to the U.S. stock market after receiving a $1.7 billion investment from SoftBank in 2021.
Market insiders expect that Yanolja’s Delaware incorporation signals an accelerated pace toward a Nasdaq IPO.
Last December, Yanolja appointed Alexandre Ibrahim as its CFO. He is known for his extensive industry experience, having previously worked for the New York Stock Exchange. In March, Yanolja also opened its 50th overseas branch in Manhattan, New York, fueling market anticipation of its upcoming Nasdaq listing.
The firm also maintained its growth trend during the first quarter of this year. Sales increased by 30 percent to 194.7 billion won, and operating profit turned positive to 14.9 billion won from a loss of 9.5 billion won in the same period last year.
Notably, the cloud division has started generating profit, which the firm had previously cited as a key prerequisite for its IPO. After achieving its first quarterly turnaround in the third quarter of last year, it has been profitable for three consecutive quarters, posting a profit of 9 billion won in the first quarter of 2024.
Yanolja declined to comment on the IPO plans.
