As the KOSPI continues its record run early this year, attention is focusing on Kbank as it makes its third attempt at an initial public offering (IPO). With the IPO tied to the chief executive's term, whether it succeeds has emerged as a key variable in deciding a reappointment.

In the financial sector on Wednesday, Kbank filed for preliminary listing review with the Korea Exchange in November and began official procedures for a KOSPI listing.

The exchange notifies the result of the preliminary review within 45 business days of the filing date. Listing then proceeds through steps including filing a securities registration statement and demand forecasting for institutional investors. Depending on the exchange's decision, the outline of the IPO schedule is expected to become clearer in the first half of the year.

This IPO is seen as effectively Kbank's last attempt. It has two prior cases in which listing plans fell through, and another failure this time would inevitably disrupt the overall investment recovery strategy of major shareholders.

Financial investors (FIs) can exercise tag-along rights if Kbank fails to complete an IPO by July this year. The rights allow FIs, when selling their stake to a third party, to force the sale of the controlling shareholder's stake as well, which is held by BC Card.

Against this backdrop, Kbank is known to be considering a more conservative valuation than in its previous listing attempt.

If the valuation presented during the past offering process was around 5 trillion won, observers say it could fall to around 4 trillion won this time.

Kbank has decided to offer only 60 million shares out of the total planned listing shares, cutting the size from the previous plan of 82 million shares. It is also known to be lowering the portion of existing-share sales to around half. This is interpreted as a strategic choice to raise the chances of a successful listing.

The listing schedule also draws attention because it overlaps with the term of CEO Choi Woo-hyung. If the listing process ramps up in the first half, Choi will continue to lead the company's biggest task, the IPO, within his term before the annual shareholders' meeting. Some observers say listing performance is likely to serve as a key yardstick in future decisions on executive appointments.

Choi's official term expired on Dec. 31 last year, but under Kbank internal rules it is automatically extended until a successor is appointed, and he is keeping the post through the annual shareholders' meeting in March. With no successor appointed, the current leadership structure is effectively being maintained.

Kbank has operated an executive candidate recommendation committee since September last year, but a shareholders' meeting to appoint the next CEO is known not to have been held so far.

In the industry, some interpret this as a choice to minimise a management vacuum at a sensitive time ahead of the IPO. Analysts say a judgment may have been at work that choosing continuity over a leadership change is more stable at a stage when listing review and communication with investors proceed at the same time.

Still, some say it is hard to be certain about Choi's reappointment, given that Kbank has had no official reappointment cases since its launch, from its first CEO Shim Sung-hoon through Lee Moon-hwan and Seo Ho-sung.

A management reshuffle at parent company KT is also cited as a variable. Kim Young-seob, the former KT chief executive who selected Choi, has stepped down, and Park Yoon-young, who rose from within the company, has become the new head. Currently, Kbank's CEO candidate committee includes KT veterans Jang Min and Lee Chan-seung, who serve as non-executive directors.

Kbank's moves after the listing are also expected to vary depending on whether it opts for management continuity or a shift to new leadership ahead of the major task of an IPO. Market attention is focusing on whether Kbank will successfully become the first KOSPI listing of 2026 and whether that will translate into Choi's performance and reappointment.

A financial industry official said market attention is rising further as the listing process and executive appointments overlap, focusing on Kbank's choice and the outcome. The official said the stock market mood is much better now than at other times when it previously pushed for a listing, and it may be more likely this time to come back as Choi's achievement.