Securities companies were the biggest beneficiaries of the success of the public offering of LG Energy Solutions (hereinafter referred to as LG Ensol), the largest IPO in history. The organizers and underwriters were hit with a double whammy in which the number of potential customers increased due to a surge in accounts in addition to huge commissions.
According to the financial investment industry on the 24th, 11 domestic and foreign securities companies, including KB Securities, the co-representative organizer, received a total of 89.2 billion won in commissions for acquiring LG Ensol’s public offering.
KB Securities, which acquired 22% of the total stock, receives 19.6 billion won in commission. Daishin Securities and Shinhan Investment Corp., the co-hosts who took over 11% (4675,000 shares) of each of the public offerings, will each receive a commission of 9.8 billion won.
The four underwriters, Mirae Asset Securities, Hana Financial Investment, Shinyoung Securities, and Hi Investment & Securities, which acquired 1.0% (425,000 shares) of each of the public offering stocks, each take a commission of about 900 million won. You can also receive a performance fee by taking into account the integrity and contribution of the listing.
Morgan Stanley International (8075,000 shares), the co-chairman of a global investment bank (IB), receives 16.9 billion won in commission, and Goldman Sachs, Merrill Lynch and Citigroup (4675,000 shares each) each receive a commission of 9.8 billion won.
Domestic brokerage firms also had savory subscription fees. KB Securities received a subscription fee of 1,500 won per case, and Daishin, Mirae Asset, Shinyoung, Hana Financial, and Hi Investment received a subscription fee of 2,000 won per case. Shinhan Investment was free.
KB Securities had 2,131,530 subscribers, earning about 3.2 billion won in subscription fees for simple calculations without considering the preferential treatment fees according to customer grades. The subscription fee of Daishin Securities, which had the second largest subscription volume, was about 1.4 billion won.
The number of customer accounts also surged, and it enjoyed the effect of securing potential customers. According to the Financial Investment Association, the number of stock trading activity accounts of all securities companies soared to 3,257,800 this year. This is more than three times the increase (934,229) during the same period last year, when the domestic stock market was extremely strong. In particular, from the 13th to the last day of the subscription, the 19th, the number of copies increased by 2.63 million in five trading days alone. It is the result of a fierce battle between investors to receive even one more share from the LG Ensol subscription.
Securities companies held various events to catch the influx of customers. KB Securities, the co-representative organizer, is offering repurchase contingent receivables (RP) with an annual rate of return of 5.0% before tax, up to KRW 1 million per person, to customers who have signed up for an intermediary-type individual asset management account (ISA) among customers who participated in the LG Ensol public offering stock subscription. Sell.
Shinhan Financial Investment also held an event to give away 10,000 to 100,000 won department store gift certificates through lottery when customers who applied for public offering shares this month invest in financial products such as short-term bonds, over-the-counter bonds, and derivative-linked bonds (DLBs).
(Seoul = News 1)
