(image: Korea Bizwire/Kobiz Media)
SEOUL, Sept. 30 (Korea Bizwire) — South Korea’s initial public offering (IPO) market is expected to gather ground in the fourth quarter as several large companies are seeking to make debuts on the local stock market, an industry source said Monday, although investors remained bearish on stocks.
About 10 companies have applied or plan to apply for regulatory approval to go public on the main KOSPI market, according to the source.
Among the big firms awaiting a KOSPI market debut is Lotte REIT, set up by Lotte Shopping, South Korea’s largest department store chain.
Lotte REIT, a real estate investment trust that acquired properties of Lotte Shopping, is expected to raise up to 429.9 billion won (US$357.3 million) in late October.
Lotte REIT has said it plans to sell 86 million shares, with a price range between 4,750 won and 5,000 won per share. Lotte REIT’s subscription offer will be held open from Oct. 8-11.
Mattress maker Zinus, which also plans to sell its stocks on the KOSPI market, is expected to raise up to 271.9 billion won in November.
The book-building process of Zinus will begin on Oct. 16, and the subscription offer will be held open from Oct. 21-22.
S&D, a construction affiliate of GS Engineering & Construction, and Hanwha Systems, a technology unit of Hanwha Aerospace, are expected to tap into the KOSPI market, according to the source.
Last year, the value of shares issued through IPOs was the smallest in five years, data showed.
According to the Korea Exchange (KRX), the total value of stocks offered by newly listed companies stood at 2.75 trillion won.
(Yonhap)
