Bloomberg News reports that SoftBank Group Corp-backed startup for ride-sharing Socar Inc. is ready to file for an IPO or Initial Public Offering of at least 154.7 billion won, which is equivalent to $119 million earliest Friday, thereby testing the how much appetite investors have for new tech stocks in a market that is in adverse condition now. More On It The biggest car-sharing service provider in South Korea is planning to sell 4.55 million new shares at a price range of 34,000 won to 45,000 won per piece, as per a document that Bloomberg reviewed. The company, slated to get listed on the Korea Exchange on August 18th, is planning to use the proceeds primarily for acquisition and to meet the operational costs. The startup's market capitalization of approximately 1.1 trillion won is compared with a 2.4 trillion won valuation, which is calculated based on the 12-month revenue through March and peer comparison, as indicated by the document. The discount highlights’ the increasing challenge for the startup as it is trying to increase funds as the stock markets continue to tumble. The benchmark Kospi is down beyond 20% till now this year and is heading for the worst year since the global financial crisis of 2018. Bloomberg News reports that the discount may do very little to pacify the SoftBank shareholders looking for recovery signs in the portfolio awash with red desperately. Anxiety has been remaining high that chances of significant write-offs are ahead. Several portfolio companies of SoftBank are being forced to restructure or increase funds at a lower valuation. During the pandemic for IPO, South Korea was one of the hottest markets. However, deterioration of sentiment was observed as markets plunged into worries about overgrowth in the economy across the globe. Investors are investing less in the startups and manifesting lukewarm demand for IPOs, compelling companies, including SK Corp affiliates, to delay or withdraw their listing plans. SoftBank Ventures Asia, the Japanese technology conglomerate's investment arm with approximately $1.9 billion in assets under its management, bought a minority stake in Socar in 2020. Top shareholders of Socar include SK Inc., SK Group’s holdings company, and Lotte Rental Co. Socar, which started operating its business in Jeju Island with approximately 200 cars in 2011, now has a market share of greater than 70% in the car-sharing market in South Korea. It has 7.5 million users in all, and the figure is equivalent to one-fourth of the country's population that has a driver's license, per the company's website. Pricing of the IPO will take place on August 4th. Further Reading \t 6 CMS Tools You Should Consider for Your Startup \t India’s Online Education Startup Weighs U.S. Acquisition of 2U Inc. or Chegg Inc. \t Startup Financing – What Are Your Some Viable Options to Consider?