SEOUL, KOREA - Hong Seok-joh and his family have earned more than 800 billion won from a successful public offering of BGF Retail on May 19. That's because the share price of the convenience store chain shot up to 57,000 won surpassing public subscription price of 41,000 won on the first day. The market value of the shareholdings by the chairman and his brothers and sister accordingly rose by 224 billion won from the public offering price.

 

At 10:41 am on the 19th, BGF Retail shares were traded at 55,800 won, down 1.93 percent from the beginning price of 57,000 won. With the high initial price, the market cap of BGF Retail chairman Hong Seok-joh's stakeholdings rose to 490.6 billion won from 352.9 billion won based on the public subscription price. Mr. Hong is the largest shareholder of the convenience store operating company with 8,607,495 shares (34.9%) as of the end of April. 

 

The value of shareholdings by his siblings has also increased. Hong Seok-hyun, chairman of JoongAng Ilbo, who is the second-largest shareholder with 2,256,555 shares (9.2%), saw his BGF Retail equity value rise 39 percent to 128.6 billion won from 92.5 billion won at the public offering price. 

 

BGF Retail chairman Hong's younger sister Hong Ra-Young, deputy director of Leeum Samsung Museum of Art, who is the third-largest shareholder with 1,858,160 shares (7.5%), earned 29.8 billion won more from the public offering price. Hong Seok-joon, younger brother of BGF Retail's Hong, who is the fourth-largest shareholder and Bokwang Investment chairman, owning 1,232,170 shares (5.0%), saw his shareholding value rise 19.7 billion won in one day.