Naver Financial confirms merger with crypto exchange Upbit

A significant event in the fintech and cryptocurrency markets has occurred in South Korea: Naver Financial, a subsidiary of IT giant Naver, officially confirmed its merger with Dunamu, the operating company that runs the country's largest cryptocurrency exchange, Upbit. This merger promises to be a significant step forward in the development of digital assets and fintech in the region.

Deal Details

According to information published in the Financial Supervisory Service's (DART) electronic disclosure system, Naver Financial announced its intention to integrate Dunamu as a wholly owned subsidiary. The aim of this move is to create new momentum for growth through digital assets.

The merger will be completed through a share swap, with the swap ratio being 2.5422618 Naver Financial shares for one Dunamu share. The transaction is expected to take effect on June 30, 2026. To complete the merger, Naver Financial plans to issue 87.56 million new shares, valued at approximately 15.13 trillion won (approximately $10.28 billion). The price per Naver Financial share at the time of the transaction will be 172,780 won (US$117.47).

Strategic Collaboration

The merger of Naver Financial and Dunamu involves expanded functional and strategic collaboration between the two companies. However, changes to the corporate structure associated with the inclusion of Dunamu as a new subsidiary have not yet been fully planned. Earlier this week, local media reported on a possible initial public offering of Upbit shares on Nasdaq following the completion of the deal, although official confirmation of this information has not yet been received.

Digital Asset Market Ambitions

The merger of the two conglomerates reflects the joint ambitions of Naver and Upbit to dominate the growing digital asset and fintech market in South Korea. The country's leaders are actively working to transform South Korea into a digital finance hub, making this merger particularly timely.

Founded in 1999, Naver has established itself as a leading player in the internet services and fintech market, building its empire on one of the country's first and most popular search engines. Naver's third-quarter revenue amounted to KRW 3.14 trillion, underscoring its strong market position.

In Conclusion

The merger of Naver Financial and Dunamu opens new horizons for both companies and the entire digital asset market in South Korea. This event not only strengthens Naver's position in fintech but also paves the way for the further growth and development of the country's cryptocurrency ecosystem. With growing interest in digital assets, this merger could be an important step toward creating a more sustainable and innovative financial environment.