Stock and debt sales by South Korean companies jumped 20 percent in October from the previous month mainly due to active fund-raising in the stock market at its heyday.

Korean companies’ stock and debt issues in October amounted to 20.7 trillion won ($18.7 billion), up 19.7 percent from the previous month, according to the Financial Supervisory Service on Monday.

Stock issues came to 1.2 trillion won, up 52.5 percent on month as the bumper IPO year extended.

Initial public offerings soared 68 percent on month to 1.07 trillion won largely owing to the market debut of K-pop superstar BTS’s agent Big Hit Entertainment that raised 962.6 billion won. There were six IPOs, including the entertainment agency, in October, four less than the previous month.

Four companies made a secondary offering of 167.9 billion won, down 4.5 percent from a month ago.

Corporate debt issues expanded 18.1 percent on month to 19.4 trillion won.

Debt issues by general companies fell 24.2 percent on month to 2.8 trillion won, but those by financial firms rose 24.9 percent to 13.9 trillion won. Other bond sales amounted to 7.3 trillion won, up 8.5 percent on month.

Asset-backed securities issuance rose 70.2 percent on month to 2.7 trillion won. Primary collateralized bond obligation issuance fell 2.4 percent to 898.0 billion won.

Outstanding balance of corporate bonds reached 568.2 trillion won at the end of October, up 1.5 percent from a year earlier.

Commercial paper issues totaled 39.1 trillion won, up 0.5 percent on month. Its outstanding balance was 189.4 trillion won at October-end, up 4.0 percent on month.

Short-term debt issues fell 2.1 percent on month to 84 trillion won. The outstanding balance declined by 1.8 percent to 50 trillion won.

By Cho Jeehyun

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