Yahoo aims for South Korea listing

SEOUL (CBS.MW) -- Yahoo is aiming for a listing on South Korea's over-the-counter Kosdaq market early next year, according to local media reports.

The company has filed a petition with Kosdaq and is expected to list early next year. The U.S. Internet portal giant "has met all the conditions for Kosdaq listing set by the government," the Korea Herald quoted a company official as saying on Monday.

South Korea has taken steps to support its tech-heavy Kosdaq market, which last week closed at its lowest level since mid-April.

The government has proposed allowing firms to float 10 percent of equity instead of 30 percent of equity for those selling at least 1 million shares. Yahoo (YHOO) is also trying to get the rule relaxed as a precondition for its Kosdaq listing, since its U.S. stake would dip below 50 percent if it were to sell 30 percent of its equity, reported the paper.

On Friday, the Kosdaq edged up 0.37 percent at 102.37, ending the week down 6.03 percent.

A local listing would reinforce Yahoo's presence in South Korea, where it is already the leading consumer portal in Asia ex-Japan and the most successful of all of Yahoo's Asian operations, said Salomon Smith Barney in a recent research report.

After debuting in September 1997, it now ranks number three in daily traffic volume, surpassed only by Yahoo in Japan and the U.S. parent site, the report said, adding that the site received 39 million hits in May 2000.

Yahoo could not be immediately reached for comment.