Korea Securities Finance Completes 100% Paid-in Capital Increase: "Expanding Capital Market Support Functions"

[Asia Economy Reporter Oh Ju-yeon] Korea Securities Finance announced on the 23rd that it has completed the full payment of a 612 billion KRW 100% paid-in capital increase to expand its support functions for the domestic capital market.

Through this capital increase, Securities Finance's equity capital is expected to grow from 2.2 trillion KRW at the end of June to 2.8 trillion KRW.

A Securities Finance official stated, "The funds raised through the paid-in capital increase will be used to strengthen the support capacity of the capital market, enhance the company's financial soundness, and serve as investment resources to expand financial infrastructure support functions."

As the capital market has rapidly grown, demands for Securities Finance's role have continuously increased, but there have been criticisms that support was limited due to insufficient capital strength.

In particular, this year, the spread of the novel coronavirus infection (COVID-19) caused shocks to the capital market, and demands for Securities Finance's role, especially from securities companies, have significantly increased.

Securities Finance explained, "To meet these market demands, we decided to proceed with a paid-in capital increase for the first time in 20 years."

This paid-in capital increase recorded a subscription rate of over 90% from shareholders' allotment. All unsubscribed shares were also absorbed, successfully completing the initially targeted 100% paid-in capital increase.

A Securities Finance official said, "Based on the funds raised through the paid-in capital increase, we will contribute to the development of the capital market and further strive to enhance shareholder value and expand shareholder returns continuously."

This content was produced with the assistance of AI translation services.