Korai to Merge With APEX Tech SPAC at $3.5 Billion Valuation

Korai, the South Korean short-form entertainment company, has agreed to merge with APEX Tech Acquisition Corporation, a US-listed blank-check company, in a deal that values Korai at $3.5 billion pre-money. The parties announced the definitive agreement on October 21, 2026, in a press release filed with the US Securities and Exchange Commission.

Under the deal, Korai goes public through the merger with the blank-check company, and the combined entity will be renamed Krflix Group, with its shares expected to trade on the New York Stock Exchange subject to approval of the listing application. Korai's existing shareholders will roll all of their equity into the combined company, under a dual-class share structure.

The announcement said the $3.5 billion figure is a pre-money valuation supplied by the parties, not the cash proceeds or the final market value after listing. The parties did not disclose how much cash is expected to remain in the APEX Tech trust at closing, any additional financing commitments, or the expected ownership percentage for each shareholder group.

Korai operates a mobile entertainment platform built around short serialized dramas, and says its products also include AI companion avatars and tools that help creators produce and distribute content. The company reported about 26 million registered users across 15 Asian countries, a figure not independently audited. The parties aim to close the deal in the first quarter of 2027, subject to shareholder and regulatory approvals and with no minimum cash condition.

What Do These Terms Mean?

Blank-check company: A listed company that raises money from investors to acquire or merge with another company; also called a special purpose acquisition company.

Pre-money valuation: The value of a company before adding the new cash raised in the merger or listing to its balance sheet.

Dual-class share structure: An arrangement in which one class of shares carries greater voting rights than another, often used to keep founder control after listing.

Listing: The process of offering a company's shares for public trading on a stock exchange.