Woori Investment & Securities is expanding its investment banking business after winning sole mandates for 270 billion won ($185 million) in hybrid bond securitization deals for EcoPro (086520) and Osstem Implant.
The brokerage said on the 2nd that it completed a 150 billion won hybrid bond securitization for EcoPro in September and recently won the sole mandate for a 120 billion won deal for Osstem Implant. The Osstem Implant transaction is expected to close this month.
Hybrid bond securitization is a structured finance technique in which a company raises funds by packaging hybrid securities it has issued into investment products. Woori Investment & Securities is broadening its business into structured finance on the strength of deal experience built up in corporate and acquisition finance.
Large investment banking mandates have continued to flow in since the firm strengthened its capital base through a share issue in May. In June, it arranged 600 billion won in acquisition financing for Ulsan GPS and SK Multi Utility, and it was the sole arranger for a combined 280 billion won across two rounds of funding needed for SK Eternix’s business restructuring. It also served as sole arranger for 120 billion won in corporate financing for EcoPro’s Indonesian subsidiary.
Since launching full-scale brokerage operations in March last year, Woori Investment & Securities has used investment banking as an early growth engine, building a track record in corporate finance and structured finance.
“Designing the optimal financial structure for a company’s strategy and circumstances, and then executing it successfully, is the core capability of an investment bank,” an official at Woori Investment & Securities said. “We will grow into a top-tier investment bank by providing tailored comprehensive financial solutions to national strategic industries such as artificial intelligence and secondary batteries, as well as to innovative companies.”