Samsung Card, Owners to Sell 12 Million Shares in IPO

Samsung Card Co. (029780), South Korea's third-largest credit card issuer, and its shareholders plan to sell 12 million shares in a $770 million initial public offering next month, the Seoul-based company said.

Samsung Card will sell 6 million new shares with a face value of 5,000 won ($5.4) a share, and existing owners will sell the rest, the company said today in a regulatory filing. No details were provided about pricing.

The shares would be worth 714 billion won ($770 million), based on Samsung Card's stock price traded today on an over-the- counter market, according to online OTC equity exchange Web site pstock.co.kr.

The sale will proceed from June 18 to June 21 and the shares will be listed on the exchange on June 27, according to the statement.

Samsung Card obtained approval from the local stock market regulator last month to become the nation's first credit provider to sell shares to the public since bigger rival LG Card Co. in 2002.

Samsung Group, the nation's biggest industrial group, owns 89.9 percent of Samsung Card through its affiliates, according to the exchange. Samsung Electronics Co., the world's biggest memory chipmaker, is the largest shareholder with a 46.9 percent stake. Samsung Life Insurance Co., Samsung Electro-Mechanics Co., Samsung Corp. and Samsung Heavy Industries Co. also own shares.

To contact the reporter on this story: William Sim in Seoul at wsim2@bloomberg.net

To contact the editor responsible for this story: Ben Richardson at brichardson8@bloomberg.net

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