'This IPO Will Accelerate Growth' Line (LN) CEO Chin Tells CNBC

Line (LN) co-founder and CEO, Jungho Chin, joined CNBC's 'Squawk on the Street' to discuss the company's IPO launch this morning.
By Giovanni Bruno ,

NEW YORK (TheStreet) --The biggest tech IPO of the year, Japanese messaging service Line (LN), opened on the NYSE Thursday morning at an initial trading price of $42. The company's co-founder and CEO Jungho Chin joined CNBC's "Squawk on the Street" to discuss the app's services, and its potential growth.

"We started as a messenger service about 5 years ago, but nowadays every Japan user enjoys Line services every day. So if you see anyone in Tokyo using a smartphone they are touching our Line service," Chin said.

The main mission is to create an app that offers its users a one-stop service for all their social media needs.

"Every smartphone user needs a messaging service, music service, and a gaming service, and they want a one-stop service. If the users can serve their needs with this one-stop service we can satisfy customers," Chin reiterated.

"The short-term view will be to focus on expanding the domain, and not so much the geographical expansion. Another key to our services have been the cartoon stickers (which Line sells at around $6). The stickers are used to compliment communication, and enhance the level of enjoyment using the app," Chin explained.

Chin believes that the willingness by users across multiple countries will remain consistent and that the sticker sales will continue to be a vital part to the app generating revenue.

However, the app has seen slowed growth recently, and Chin says that's rooted in their change of strategy.

"We have changed our strategy to focusing on expanding our domain, and service rather than expanding to other countries," he explained.

"Ultimately we believe that this IPO will accelerate our growth," Chin said.

Shares of Line are trading higher 33% to $42.00 per share upon its debut Thursday morning. 

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