Hana Office REIT, which drew attention as Hana Financial Group's first listed REIT, has withdrawn its listing.
According to the Financial Supervisory Service's electronic disclosure system on the 26th, Hana Office REIT submitted a withdrawal filing that day. It came about two months after it filed a securities registration statement in Feb. with the goal of listing on the KOSPI.
Weak demand forecasting was said to have led to the withdrawal. The company had conducted demand forecasting for institutional investors over two trading days from the 23rd to the 24th.
A REIT refers to a real estate indirect investment vehicle company that raises investment funds and generates revenue through real estate assets. The offering price was 5,000 won per share, and the offering amount was 126 billion won.
Risks in the Middle East that heightened since the end of last month became a headwind. As concerns over international oil price instability and interest rate hikes resurfaced, investor sentiment toward listed REITs overall contracted sharply.
In fact, Hana Office REIT said, "We decided to withdraw this offering after comprehensively considering overall conditions, including increased financial market volatility and uncertainty."
Meanwhile, Hana Office REIT's assets are the Hana Financial Group Gangnam Building near Gangnam Station and the Taekwang Tower. Because it holds assets in the Gangnam Station area with low vacancy rates, the company plans to push for a relisting at a later date.