[Asia Economy Reporter Lim Jeong-su] A project financing (PF) worth 107 billion KRW has been secured for the construction of the knowledge industry center "Master Value Ace" in Gayang-dong, Gangseo-gu, Seoul.
According to the investment banking (IB) industry on the 5th, Shinyang Oxygen Industrial Co., Ltd. received a loan of 107 billion KRW from a consortium led by KB Investment & Securities. The loan has a maturity of 3 years with a lump-sum repayment at maturity.
The loan was divided into senior loan of 81 billion KRW, mezzanine loan of 16 billion KRW, and subordinated loan of 10 billion KRW according to collateral and repayment priority. Shinyang Oxygen Industrial provided land in Gayang-dong as collateral to the lenders.
The funds raised will be used for construction costs and other expenses related to the knowledge industry center project. Shinyang Oxygen Industrial plans to build and sell a knowledge industry center with 5 basement floors and 15 above-ground floors (total floor area of 30,577㎡) on a 3,404㎡ site at 449-12 Gayang-dong, Gangseo-gu, Seoul.
The construction company is Ace Construction, aiming for completion in October 2023. Ace Construction has provided a completion guarantee agreement to finish construction within 30 months after the PF loan execution. If the completion permit is not obtained within the deadline, they must assume the PF debt.
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