Lotte Rental, South Korea’s largest car rental company, has selected Korea Investment & Securities and NH Investment & Securities as the lead joint underwriters for its planned initial public offering (IPO) later this year.

Samsung Securities, Shinhan Investment Corp and KB Securities were earlier named in the sale team, and the pool of investment banks has recently been widened to seven with the inclusion of Mirae Asset Daewoo and Hana Financial.

Korea Investment & Securities and NH Investment & Securities have been selected to lead the sale because of their long track records.

Lotte Rental held its presentation immediately after receiving proposals from investment banks on January 15, but the process has taken longer than expected due to the decision to broaden the candidate pool for sale managers.

The firm now plans to file for a preliminary review for its listing on the main KOSPI bourse in 2021. Industry watchers expect the procedure to go smoothly, as Lotte Rental has transparent accounting and corporate governance systems.

Lotte Rental leads the South Korean rent-a-car business with a market share of 23%. Car sharing platform Green Car is the crown jewel of the company, as there has been rapid growth in car sharing services due to the Covid-19 pandemic.

The company has registered strong growth since it was acquired by Lotte Group in 2015, with its revenue rising to 1.73 trillion won ($1.5 billion) in the third quarter of 2020, from 1.55 trillion won a year earlier. Operating income and net income increased by 30 billion won and 20 billion won to 129.4 billion won and 44.6 billion won respectively in the same period. (Reporting by Chan-mi Oh)