Kakao holds overseas IR meetings in Hong Kong, Singapore to outline spinoff plans

Kakao is holding a series of investor meetings to present its vision for a planned corporate spinoff to domestic and international shareholders.

Kakao said Wednesday that CEO Jung Shin-a and KakaoX CEO-designate Kim Do-young are visiting Hong Kong and Singapore through Thursday to hold investor relations meetings with more than 10 overseas investors and institutions.

The meetings will cover the rationale and objectives behind Kakao's planned spinoff, as well as the roles and growth strategies of KakaoAI and KakaoX after the split. Kakao said it also aims to actively gather feedback from overseas investors and build broader support for the restructuring plan.

When Kakao announced the spinoff in August, it said the move would establish a more specialized decision-making framework and capital allocation structure to enhance corporate and shareholder value.

After the split, KakaoAI will focus on AI-driven businesses — integrating AI, advertising and commerce around KakaoTalk — while KakaoX will oversee the growth of core businesses including tech-finance, content and mobility, and identify new engines for future growth.

Ahead of the overseas IR meetings, Kakao held a series of briefings for stakeholders to explain the purpose of the spinoff and its growth strategy. The company hosted two minority shareholder meetings in September and October, answering questions directly from shareholders, and held a joint analyst briefing with executives from key subsidiaries to share medium- and long-term growth plans for each business after the split.

The second minority shareholder meeting in October expanded participation options to include both online and in-person attendance.

Alongside the spinoff, Kakao said it plans to continue strengthening shareholder value.

The company decided to carry out early — before the split — half of the 300 billion won ($221 million) share buyback and cancellation that KakaoX had originally been set to execute after the separation. The remaining 150 billion won is scheduled to be bought back and canceled by KakaoX within 2027, after the split.

"Through these meetings, we expect to directly hear what overseas investors are curious about and gauge the market's perspective," a Kakao official said. "We will faithfully reflect the diverse opinions gathered on the ground and actively create opportunities for investors to continuously track the growth strategies and results of both companies."

Meanwhile, Kakao has pushed back its spinoff shareholder meeting by about a month, from Dec. 17 to Jan. 15 next year. The effective date of the split has also been moved from Jan. 1 to Feb. 1 next year. The split ratio between KakaoX and KakaoAI is set to be adjusted from approximately 0.635 to 0.364 to approximately 0.611 to 0.388, reflecting the share buyback and cancellation.