Samsung SDI has slashed its Share Price owing to Jitters across the Global Market
For fresh equity, South Korea’s Samsung SDI has cut new share prices by 14% in a bid to raise 2 trillion won, approximately 1.4 billion dollars. Prices have dropped from 169,200 won to 146,200 won for the stock issue. The definitive price is yet to be determined by 19 May.
All this happened as global markets experienced tremors from the new U.S. tariffs, with the loudest echo being a 104% levy on Chinese goods. In response, China’s counter-words were that it would “fight to the end,” which put the world into panic over an unfolding economic recession.
Asian stock markets continue their downward trend, with investors retreating to cash even from the most secure haven, the U.S. Treasury bonds. The Korean won recently dropped to a low of 16 years.
Samsung SDI intends to channel the proceeds into establishing a joint venture company with General Motors in the area of batteries and to also boost its battery factory in Hungary.
Not only Samsung SDI but also others announced the postponement of their fundraising plans. The biggest brands in Japan, Suntory, Asahi, and even Nissin, announced their postponement of bond issues. Even Ather Energy of India might reduce its IPO from $50 million on account of market uncertainty.
