Coupang has started to raise funds needed to expand logistics centers and expand new businesses with paid-in capital increase and mortgage loans.
According to the Financial Supervisory Service's electronic disclosure on the 24th, Coupang will issue 9,499 new shares for 50,000 won per share and increase 474.95 billion won. It is the fourth paid-in capital increase this year following April, July and October, and the total amount is 1.38 trillion won.
According to Coupang, the paid-in capital increase is a process of sending funds raised through listing to Coupang Korea by a U.S. corporation with a 100 percent stake in Coupang Korea. Recently, it received about 370 billion won in loans on two occasions.
According to the U.S. Stock Exchange, Coupang borrowed $139 million (about 170 billion won) last month with a fixed interest rate of 3.45%. In August, it also borrowed $169 million with a fixed interest rate of 3.155%.
According to an official from the distribution industry, Coupang, which has been in the red for a long time and has recently increased its deficit, is securing investment through paid-in capital increase and loans to expand its logistics center.
Coupang's sales in the third quarter rose 48 percent on-year to $4.6447 billion (5.48 trillion won), but operating losses rose 45.7 percent on-year to $315.11 million (371.6 billion won) and net losses rose 87 percent to $323.97 million (382.1 billion won).
Coupang has decided to invest more than 1.5 trillion won to open new logistics centers in 10 regions across the country this year, including Busan, Cheongju, Gimhae, Changwon and Wanju, and is also increasing its investment in Coupang Eats and Coupang Play.
Reporter Lee Ji-sun stockmk2020@gmail.com
