Corporate bonds of Hite-Jinro attracted more than 270 billion won of application, which is much bigger than its original target of 80 billion won, based on cooperation with NH Investment & Securities. Photo Hite-Jinro

NH Securities successfully raises funds for alcoholic beverage maker

Hite-Jinro, a South Korean manufacturer of alcoholic beverages, attempted to raise funds amounting to 80 billion won ($64 million) by issuing corporate bonds.

The Seoul-based outfit asked NH Investment & Securities, the country’s top-tier brokerage house, to take charge of the issuance.

On June 2, NH Securities started receiving subscription for the corporate bonds with a maturity of three years and five years.

Few expected that the issuance would attract more than 270 billion won of application, which is three times more than the original goal.

Observers pointed out that NH Securities’ know-how in corporate bonds issuance has worked to cause the unexpected over-subscription.

As a result, Hite-Jinro will be able to raise the amount by up to 150 billion won more.

Hite-Jinro saw its first-quarter sales jump 26 percent from a year ago. It also swung to a profit, which stood at 56.1 billion won.

NH Securities was launched in 2006 when Sejong Securities was incorporated into the National Agricultural Cooperate Federation, otherwise known as Nonghyup.

Currently, CEO Jeong Young-chae is heading the outfit whose biggest shareholder is NH Financial Group. Its stake is 76.09 percent.