Seoul-based brokerage seeks specialization in lucrative segment
In order to beef up its specialty in the investment banking business, NH Investment & Securities decided to reorganize the department, according to the brokerage house on February 17.
The Seoul-based outfit said that it had introduced the title of the real-asset investment department so as to reflect its business.
In addition, NH will set up a Hong Kong IB 2Desk to deal with alternative investments. The existing Hong Kong IB 1Desk will be in charge of cross-border M&A and overseas corporate financing.
Real-estate financing department will maintain its shape while focusing on project financing.
Project-financing is a way to secure funds for big-sized infrastructure projects of building railway or toll roads.
In Korea, the financing format has been mostly used to construct large apartment complexes. Under the scheme, financial institutions provide money for building apartments via non-recourse loans secured by cash flow from the project.
But top-tier financial institutions of the country have tried to expand its coverage to other areas.
NH Investment was launched in 2006 when Sejong Securities was incorporated into the National Agricultural Cooperate Federation, otherwise known as Nonghyup.
Currently, CEO Jeong Young-chae heads the outfit, whose largest shareholder is NH Financial Group. Its stake is 76.09 percent.