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POSCO secures 800 bln won through sales of treasury stocks

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(Globalpost/GlobalPost)

SEOUL, Sept. 12 (Yonhap) -- POSCO, South Korea's top steelmaker, said Thursday that it has secured around 800 billion won (US$739 million) by selling some of its own stocks.

The steelmaker said it sold 2.49 million of its existing shares at 323,000 won each to a group of foreign investors in a block sale, at 4.8 percent discount from the figure at Wednesday's close.

Shares of POSCO were trading at 329,500 won on the Seoul bourse as of 2:10 p.m., down 3.09 percent from the previous session's close.

POSCO said the proceeds from the sale of its treasury stocks will be used to pay off part of its debts and boost its financial status.

The steelmaker has been striving to shore up its financial health amid the prolonged slump in the steel industry.

Last year, POSCO also unloaded its stakes in major firms such as SK Telecom Co. and KB Financial Group Inc. to improve its financial conditions.

After the stock sales, POSCO holds 7.44 million of its shares.

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