[PF] IS Dongseo Secures Funding for Land Acquisition in Ulsan Development Area

[Asia Economy Reporter Lim Jeong-su] Mid-sized construction company IS Dongseo has raised 50 billion KRW to secure land in the Yaeum-dong area of Nam-gu, Ulsan.

According to the investment banking (IB) industry on the 16th, IS Dongseo borrowed 50 billion KRW from a special purpose company (SPC) established under the management of Korea Investment & Securities. The loan maturity is short at three months, but it can be extended until January next year at the latest if the agreed conditions are met.

There are three main conditions for extending the maturity. First, a loan securitization purchase agreement must be provided by a financial institution with a short-term credit rating of A1 or higher. Additionally, there must be no occurrence of loss of benefit of term, and interest on the loan must be paid without delay.

IS Dongseo will use the raised funds to purchase land at 389-24 Yaeum-dong, Nam-gu, Ulsan. They plan to pay the interim payment for the land purchase. After acquiring the land, they will build multi-family housing and neighborhood facilities following the sales process.

IS Dongseo is conducting multiple development projects in the Ulsan area. In particular, the Yaeum-dong area in Nam-gu, Ulsan, has many redevelopment zones, where companies such as GS Construction and IS Dongseo have won redevelopment projects and are carrying out construction work.