Tokyo-based database provider Uzabase has received the approval from the Tokyo Stock Exchange for public listing of its shares from October 21, 2016, according to an announcement by the Japanese bourse.
The company will be making its listing debut on the Mothers Market of the exchange, with plans to offer 543,000 shares for public subscription and to and to sell 110,400 shares in over-allotment options, and 193,300 shares in secondary offering.
Uzabase said its market capitalisation was expected to reach 17.78 billion yen ($177 million) following the IPO. Mizuho Securities is the underwriter for the transaction.
Founded in 2008, the company has developed its flagship product, SPEEDA, as information infrastructure; and business news platform NewsPicks, which curates news topics. The value of a news aggregator lies in its ability to consolidate news content, which adds significant business value.
Uzabase raised $4.5 million in a series C funding in 2014, led by Itochu Technology Ventures. Other participating investors include Yahoo Japan Capital, GMO Venture Partners, Mitsubishi UFJ Capital and Shinsei Bank.
Uzabase’s co-CEOs and founders, Yusuke Umeda and Ryosuke Niino, are holding a 28.34 per cent stake each in the company, while their major shareholders own from almost 5 per cent, including Global Capital Partners (11.43 per cent), COO Yusuke Inagaki (9.91 per cent) and Hong Kong-based financial information provider FISL (4.82 per cent).
Several of Uzabase’s competitors in the curated news business are also boosting their growth through an IPO.
Gunosy started listing with an initial market capitalization of $263 million last year, while SmartNews is reportedly seeking an IPO in 2016, having secured $38 million in a series D investment round, according to The Bridge.