Japan's online banks struggle to deliver blockbuster IPOs

Low valuations indicate limited excitement for Rakuten and SBI units

20211130 SBI and Rakuten

Japan's leading online banks, Rakuten Bank and SBI Sumishin Net Bank, have failed to generate the same buzz among investors as their counterparts elsewhere.  (Photo by Ken Kobayashi)

WATARU SUZUKI, Nikkei staff writer

TOKYO -- Two Japanese digital banks are following the footsteps of their regional and global peers by tapping the stock market for the first time. But analysts say they are unlikely to command the eye-popping valuations that investors bestowed on their counterparts elsewhere: Japan's online banks are more like traditional banks than fast-growing tech companies.

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