December 22, 2024

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Line Man Wongnai CFO Chung In-young (LMWN)

Line Man Wongnai, Thailand's leading food delivery app and digital solutions platform, is expected to open a research and development center in Korea in December in a move to tap into the nation’s deep pool of tech talent ahead of its planned stock debut next year.

In an exclusive interview with The Korea Herald on Friday, the company’s Chief Financial Officer Chung In-young revealed that the company is actively recruiting Korean talent particularly in three sectors -- fintech, user experience and product management. The R&D center, located in Pangyo, Gyeonggi Province, aims to start with dozens of experienced professionals in the initial stage.

"We see great potential in leveraging Korean tech talent to drive our growth a step further at this point," Chung said. "The Korean market has advanced drastically in sectors like food delivery and digital payments. We believe this expertise can accelerate our development in the emerging Southeast Asian market."

Line Man Wongnai was established in 2020 through a merger of Line’s food delivery service Line Man and local restaurant review platform Wongnai. The company outpaced its regional rival Grab in the first half of this year, becoming the No. 1 food delivery platform in Thailand.

The company is also the operator of the Southeast country’s largest point-of-sale system for restaurants and is aggressively expanding its digital payment service, Line Pay.

The CFO highlighted the company's unique position in combining food delivery, POS systems and digital payments under one roof -- a model he claims is unmatched globally. This integration allows for significant synergies, particularly in scaling the payments business.

As Line Man Wongnai prepares for an initial public offering, it is banking on continued strong growth across its three core businesses, while it sees substantial room for expansion in Thailand's still-maturing digital economy.

The move to establish an R&D presence in Korea also reflects a broader trend of Southeast Asian tech companies tapping into Northeast Asian talent pools. With the Korean tech scene facing a slowdown and job market challenges in recent years, Line Man Wongnai hopes to attract experienced professionals looking for new opportunities in the region's fast-growing markets.

According to Chung, several senior-level employees have already been hired, including a tech veteran from a well-known Korean startup.

"One of the most unique aspects of Korea is the rapid maturation of similar businesses. Within this context, there are many young developers, business developers and designers with relevant experience. Here (in Thailand), local elements like the language and market environment are best understood by locals creating businesses. But, when it comes to development and product creation, the technology is similar worldwide. For this reason, I see the Korea office as an excellent opportunity in terms of such arbitrage."

As Line Man Wongnai expands its technological capabilities and prepares for public markets, it will face intensifying competition from Southeast Asian giants like Grab and Sea Limited's Shopee, a local e-commerce business. However, the company remains confident in its integrated model and local market expertise.

Valued at over $1 billion, the firm has raised over $372 million from investors such as Singapore’s sovereign wealth fund GIC, as well as BRV Asia and Z Holdings. It aims to raise up to 10 billion baht ($296 million) in the IPO.

While the primary objective is a listing in Thailand, the company is also exploring the option of a dual listing in the US, though this isn’t currently part of the formal plan. If successful, Line Man Wongnai would be the first Thai digital tech platform company to debut on the local stock exchange.

(LMWN)

(LMWN)

By Kim Hae-yeon (hykim@heraldcorp.com)