Daishin Financial Group's first public offering of a real estate investment trust, Daishin Value REIT, is underperforming on its debut day, October 10, in the stock market.
As of 9:02 a.m. on the same day, Daishin Value REIT is trading at 4,725 won, down 275 won (5.50%) from its offering price of 5,000 won.
Daishin Value REIT recorded a competition rate of 7.43 to 1 in the institutional investor demand forecast held from the 12th to the 13th of last month. A total of 174 domestic and foreign institutions participated, with the total order size reaching 430 billion won.
In a public offering for general investors conducted on June 23 and 24, the competition rate was 6.37 to 1. Approximately 123 billion won was gathered as subscription deposits.
Daishin Value REIT plans to use the funds raised from this offering to repay private bonds issued during the acquisition of equity in 'JARITS (Daishin Value REIT Special Purpose No. 1),' which has Daishin 343 as its underlying asset.
In the future, Daishin Value REIT plans to sequentially incorporate core assets held by the sponsor group in downtown Seoul to expand its asset size. A representative from Daishin Value REIT noted, 'Daishin Value REIT will build a portfolio that combines stability and revenue centered around prime offices and aims to grow into a giant listed REIT with an asset size of over 2 trillion won in the medium to long term.'