IGIS Asset Management completes W900b acquisition of Doosan Tower

IGIS Asset Management has completed its acquisition of Doosan Tower, a landmark in Seoul's Dongdaemun district, closing a deal worth more than 900 billion won ($614 million) roughly a year after a previous joint bid collapsed.

Investment banking sources said Monday that IGIS Asset Management paid the remaining balance and finalized the deal closing that day.

Doosan Tower was acquired by Mastern Investment Management from Doosan in 2020 for around 800 billion won. The latest transaction, including concessions, is understood to exceed 900 billion won.

Mastern Investment Management launched a sale process last February as its fund neared maturity. Korea Investment & Securities, IGIS Asset Management and Kiwoom Investment Asset Management all entered the bidding, with Korea Investment & Securities selected as the preferred negotiating party.

However, Korea Investment & Securities failed to secure investors, and negotiations collapsed in July last year.

IGIS Asset Management subsequently restructured its investment framework and financing plan and resumed its pursuit of the asset, completing the deal about a year later.

NH Investment and Hana Bank participated in the financing, and Doosan is also understood to have contributed a portion of equity to the acquisition fund.

Doosan Tower is a mixed-use commercial and office complex with seven below-ground floors and 33 above-ground floors, spanning a total floor area of 122,586 square meters.

IGIS Asset Management is understood to be reviewing plans to enhance the asset's value through conversion into hotel, office and retail uses following the acquisition.

Meanwhile, IGIS Asset Management was also selected earlier this month as the preferred bidder for KT Twin Tower in Gwanghwamun, Seoul, signaling an accelerating push into large-scale office investment.