Paid-in Capital Increases by Companies Surpass 9 Trillion Won in First Half... Up 17% Year-on-Year

In the first half of this year, domestic companies raised approximately 9.1 trillion won through paid-in capital increases. This represents an increase of 17.2% compared to the same period last year.

On July 24, the Korea Securities Depository announced these figures in its report on electronic registration and issuance of stocks.

A paid-in capital increase refers to a company issuing new shares to raise capital, selling these shares to existing shareholders or external investors in exchange for money. Compared to loans or bond issuance, it allows companies to secure capital quickly without incurring interest expenses. However, it can dilute the ownership of existing shareholders, which may cause a short-term decline in share prices.

The amount of stock issued due to stock options (employee stock compensation plans) reached 185.3 billion won in the first half of this year, an 18.7% increase from the same period last year.

The number of companies that newly or additionally issued shares in the first half of this year was 790, a decrease of 7.7% from 856 companies in the same period last year.

The total number of shares issued and the total amount issued were 5,897 million shares and 11.13 trillion won, respectively. Compared to the same period last year, the number of shares issued decreased by 39.2%, while the total amount issued increased by 8.7%.

By type of issuing company, there were 449 KOSDAQ-listed companies, 222 unlisted companies, 92 KOSPI (Korea Composite Stock Price Index) listed companies, and 27 KONEX-listed companies.

In terms of the number of shares issued, KOSDAQ-listed companies accounted for the largest share with 2.96 billion shares, followed by unlisted companies with 1.53 billion shares.

In terms of the amount issued, KOSPI-listed companies accounted for the largest portion with 6 trillion won (53.9%), followed by KOSDAQ-listed companies with 3 trillion won (27%).

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