Coupang attempted to list on the New York Stock Exchange for a $1.2 billion loan from capital erosion due to a chronic deficit.
Coupang's application form for the New York Stock Exchange (S-1 document) stated its unsecured loan plan on the condition of'achieving net profit of $2 billion by listing' and saying, "We will invest $87,000 to build 7 new metropolitan distribution centers and create thousands of jobs. "He said.
In this IPO, Coupang is expected to face a liquidity crisis as loans will not be possible if stock returns are less than $2 billion.
The revolving limit loan specified by Coupang is a maximum of 1.25 billion dollars (1.4 trillion won).
Coupang reduced its deficit from 1 trillion won per year to 500 billion won last year for quarantine expenses and increased sales by 90%, but it is in a state of complete capital erosion with a cumulative deficit of 4.5 trillion won.
Coupang expanded its logistics investment rather than distribution, acquired the parcel delivery business qualification last year, expanded 7 of them in 100 distribution centers in 30 domestic cities, and began competition with domestic delivery companies through rocket delivery by early morning delivery.
Coupang is a rocket member business and Coupang Media Group to further expand logistics base by advocating a'direct purchase e-commerce' business with early morning delivery of fresh food and free delivery of exchange logistics within 10 minutes at the distribution center for Koreans living in apartments with high population density. 'The rocket alliance business that relied on publicity was caught.
Coupang's sales expanded by 91% last year to $11,673.3 million (1.35 trillion won), up 91% from $6.273.26 million (7.1 trillion won) last year, and operating loss to $52773 million (58.05 billion won). It decreased by 120 billion won from 64383 million dollars (7082 billion won) in 2019.