Shinsegae (credit rating AA) secured 1.8 trillion won in funds during the corporate bond demand forecast. This indicates nearly nine times the recruitment amount of 200 billion won was in demand. Shinsegae is said to be considering increasing the issuance of corporate bonds to a maximum of 400 billion won.
According to the financial investment industry on the 14th, Shinsegae aimed to recruit a total of 200 billion won and received buy orders totaling 1.785 trillion won. For the 2-year bond, 37 billion won was collected against a 50 billion won offering, and for the 3-year bond, 1.415 trillion won was received against a 150 billion won offering.
Shinsegae offered an interest rate of -30 to +30 basis points (1 basis point = 0.01 percentage points) compared to the individual market rate, achieving -11 basis points for the 2-year bond and -10 basis points for the 3-year bond. This indicates that there were many investors willing to buy at prices higher than those evaluated in the market.
Shinsegae, which split off its large discount store sector as Emart in 2011, operates primarily in department stores along with the institutional sectors of ▲duty-free shops ▲retail and wholesale of clothing and cosmetics ▲real estate leasing ▲hotel business. As of the third quarter of last year, the operating profit was 92.9 billion won, a 29% decrease compared to the same period the previous year. Revenues for the same period recorded an increase of 2.8%, reaching 1.54 trillion won.