[Asia Economy Reporter Park So-yeon] It has been confirmed that Coupang raised over 2 trillion KRW in parent company funds domestically within a year and a half after its listing on the New York Stock Exchange through a paid-in capital increase. Coupang recently raised approximately 400 billion KRW through a paid-in capital increase. In March, it also raised about 500 billion KRW using the same method, steadily channeling cash accumulated from its U.S. listing back into South Korea.
According to the financial investment industry on the 8th, since its listing on the New York Stock Exchange in March last year, Coupang has raised a total of 2.6 trillion KRW domestically through paid-in capital increases and other means. Through the U.S. stock market listing, Coupang’s parent company, the U.S.-based Coupang Inc., secured over 5 trillion KRW in cash, more than half of which has flowed into South Korea. Coupang Korea is 100% owned by Coupang Inc.
On the 2nd, Coupang conducted a shareholder-allocated paid-in capital increase amounting to 391 billion KRW to raise operating funds. The issuance price per share was 50 million KRW, with a total raised amount of 391.9 billion KRW. It is estimated that Coupang raised about 1.6 trillion KRW through four paid-in capital increases of the same type in the past year since its listing in March last year. This year, it has additionally raised about 900 billion KRW. A source from the financial investment industry hinted, "About half of the funds raised since the listing have been received, and it seems the ammunition is still sufficient." The industry expects that, given Coupang Inc.’s ample cash reserves, such forms of capital inflow will continue in the future.
Coupang is actively investing the funds flowing into South Korea mainly in infrastructure such as logistics centers. Coupang is investing a total of 1.8 trillion KRW to build about 100 logistics infrastructures across more than 30 regions nationwide. The logistics infrastructure currently being developed by Coupang covers a total floor area of 2,322,575㎡ (702,579 pyeong). This is equivalent to more than 400 soccer fields. Over 70% of the population lives within 11 km of a Coupang logistics center, and the employment generated through these centers is estimated at around 18,000 people. Coupang has also set a strategy to achieve both expanded service convenience and real estate investment benefits through logistics center investments. A source from the financial investment industry said, "Coupang is expanding logistics centers to enhance delivery services, and from an investment perspective, it is also considering mid- to long-term strategies such as bundling logistics centers for a REITs listing."
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