SK Securities Issues KRW 1.4B Equity-Linked Bonds Linked to KEPCO... Unlisted, Non-Principal-Protected, Investors Beware
SK Securities issues two series of Equity-Linked Bonds (ELB) linked to KEPCO common stock: Series 3248 (KRW 600M) and Series 3249 (KRW 800M), totaling KRW 1.4B, to be issued on May 29, 2026.
Series 3248: 1-year maturity, base yield of 3.400% p.a., increased to 3.401% if underlying stock price at maturity is ≥300% of initial. Series 3249: 2-year maturity, base yield 3.650% p.a., increased to 3.651% if ≥400% of initial.
These bonds are unlisted, not covered by deposit insurance. Early redemption may result in principal loss. Issuer credit rating is A- (Korea Ratings). In case of issuer default, full principal loss is possible.
Proceeds will be used for hedging in underlying stock and derivatives, and for other financial investments. Subscription limited to retirement pension funds. Issuance may be canceled if total subscription is below KRW 100M.
[AI Comprehensive Analysis]This is a routine ELB issuance by SK Securities, with no direct impact on corporate value, thus neutral (impact_score 5). However, investors must fully understand the risks: unlisted status, lack of principal protection, and issuer credit risk.