Things seem to be going quite well for Samsung as the South Korean giant anticipates the best second half since 1999. The Samsung group continues to take more businesses public and consequently recent stock sales have produced three times the Asian average.
south-koreaCredit Suisse, a leading global financial services company has projected that compared to last year companies might raise 30% more from initial and secondary public offerings in the seconds half, which would mean a total of 8.4 trillion won!
This year, the Korean listings rose 79% on average compared to an average of 21% for the region.
Samsung’s listed units comprise about 24% of the index and they are planning to take two more of their companies’ public. According to Daewoo Securities, the offerings might attract more chunks of foreign money to what is now Asia’s fifth largest stock market. The head of the corporate finance division at Daewoo Securities, Kim Sang-tae suggests that a significantly larger pool of competitive companies will be open for investment.
Samsung Everland disclosed its plan to list as early as the first quarter next year and Samsung SDS intends a float by the end of the year.
The following transactions will facilitate the evolution to holding company structure, at least which is what the analysts at Morgan Stanley and CLSA Asia-Pacific Markets suggest.
However factors such as the hospitalization of the chairman and the government ban of family owned conglomerates have contributed to a greater scrutiny of the group.
Nevertheless, the sales continue to help revive the fortunes of Korea’s stock arrangers after the second worst start to a year since the year 2008. The Director at Credit Suisse, Tan Kang expects the outlook to get better as large listings will bring a reviving change in the stumbling IPO market.
