14th CB Issuance to Potentially Increase Share Count by 89%... Extreme Dilution Risk for Existing Shareholders
Moadata decides to issue 5 billion won in 14th-series unregistered, unsecured private convertible bonds (conversion price 1,553 won, coupon 2.0%, maturity yield 4.0%, maturity May 29, 2029).
Total outstanding CBs and BW including this issue amount to 43.2 billion won, with potential shares upon conversion reaching 32,417,307, representing 89.10% of current outstanding shares (36,381,379), causing massive dilution.
Proceeds of 5 billion won are for operating funds. Conversion price is about 50% above the current stock price (1,032 won), but past low-priced CB issues have continuously eroded per-share value.
The bonds include put and call options. The subscriber is Heonus 2nd Investment Association (newly established, no financial statements) via private placement.
Existing 6th to 13th series CBs/BWs have conversion prices mostly in the low 1,000 won range, already above current price, but long conversion periods (up to 2030) create persistent overhang risk.
[AI Comprehensive Analysis]This disclosure is extremely negative, severely impairing existing shareholders' equity. The additional share potential (89% dilution) relative to the already low market cap (~37.5 billion won) is excessive, making the stock outlook very bearish. Investors should closely monitor potential massive share supply upon conversion and deteriorating financial health.
KOSDAQ Filing Information
Filing: [Correction of Description] Report on Major Matters (Decision on Issuance of Convertible Bonds)