Financial Supervisory Service Announces April Corporate Direct Financing Performance
In April, direct financing fund raising by domestic companies saw an increase of over 1 trillion won in stocks and corporate bonds, while convertible bonds (CP) and short-term bonds decreased by more than 6 trillion won.
According to the 'April Corporate Direct Financing Performance' announced by the Financial Supervisory Service on the 22nd, the total issuance of stocks and corporate bonds last month was recorded at 20.2369 trillion won. This represents a 6.8% increase, or 1.2915 trillion won more than the previous month.
The scale of stock issuance was 82.1 billion won, a 67.1% decrease compared to the previous month. The amount of Initial Public Offerings (IPO) was 44.7 billion won, down 75.8% from the previous month. Paid-in capital increases also decreased by 42% to 37.4 billion won compared to the previous month.
The total issuance of corporate bonds was 20.1548 trillion won, up 7.8% from the previous month. General corporate bonds amounted to 6.335 trillion won, an increase of 34.7% compared to the previous month. Financial bonds totaled 12.0524 trillion won, down 4.9% from the previous month, and asset-backed securities (ABS) increased by 34% to 1.7674 trillion won compared to the previous month.
A Financial Supervisory Service official explained, "In April, the proportion of refinancing and operating funds decreased, while the proportion of facility funds increased, and issuance focused mainly on medium-term bonds continued."
As of the end of April, the total outstanding balance of corporate bonds was 630.1547 trillion won, a 0.2% increase from the previous month. General corporate bonds continued net issuance.
In April, the issuance of CP and short-term bonds totaled 111.8502 trillion won, a 5.4% decrease from the previous month. CP issuance amounted to 36.4604 trillion won, up 16.2% from the previous month. The outstanding balance of CP as of the end of April was 205.2243 trillion won, a 0.7% increase from the previous month.
Last month, short-term bond issuance totaled 75.3897 trillion won, down 13.2% from the previous month. General short-term bonds were 54.2326 trillion won, a 13% decrease compared to the previous month, PF-AB short-term bonds were 1.7436 trillion won, down 21.9%, and other AB short-term bonds were 9.4135 trillion won, a 0.4% decrease from the previous month. As of the end of April, the outstanding balance of short-term bonds was 68.5168 trillion won, down 2.2% from the previous month.
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