Completion of 6th CB Issuance of 1.2B KRW... Combined Potential Dilution Up to 61.84% from Existing CBs Lingers
Completion of the 6th unsecured private convertible bond issuance of 1.2 billion KRW (payment date: May 28, 2026)
Following the board resolution on May 20, the conversion price remains at 10,095 KRW
Current stock price (8,610 KRW) is below the conversion price, reducing conversion incentive, but if the stock price rises, 118,870 new shares (4.9% of outstanding) could be added
Combined with existing 4th CB (100 billion KRW) and 5th CB (15 billion KRW), potential dilution rate reaches 61.84%, persisting shareholder value dilution risk
Proceeds will be fully used to acquire securities of another company (Hwahyun Tourism Development), which is in a loss-making state, raising questions about investment efficiency
[AI Comprehensive Analysis]The completion of this CB issuance actualizes the potential dilution of existing shareholders' equity. While securing long-term growth drivers is more important than short-term funding, the target company's poor financial condition heightens investment risk. Investors should monitor future conversion rights exercise and additional dilution possibilities.
KOSPI Filing Information
Filing: Result of Issuance of Rights Offering or Equity-Related Bonds (Voluntary Disclosure)