Sangji Construction: Large Rights Offering Amid Financial Distress and Dilution Risk
Rights offering: 2,200,000 shares (32.22% dilution vs outstanding), expected issue price 8,520 won, total 18.7 billion won raised
Use of funds: Operating funds for subsidiary Caelum Dosan's 'Sangji Caelum Escala' development project (pre-main PF stage)
Financial deterioration: Consolidated sales fell from 173.9 billion won (2023) to 18.6 billion won (2025); net losses for 3 consecutive years (2024: -26.7B, 2025: -13.5B); debt ratio 121.5%; persistent operating losses
Delisting risk: Possibility of being designated as a managed issue; meets multiple criteria for investment caution items (short-term borrowing dependence, operating loss, interest coverage ratio below 1, etc.); large-scale capital increase raises concern of stock price decline
PF contingent liabilities: 100.8 billion won (100,800 million won) in joint guarantees for bridge loans (subsidiary Caelum Dosan), which could increase financial burden if projects fail
Frequent fundraising: 8 rights offerings/convertible bond issuances in the last 5 years, with multiple delays and changes in subscribers
Largest shareholder holds 12.58%, participation uncertain, potential for management control change