KIWOOM Securities Issues 1 Billion Won in Equity-Linked Bonds; ELB1189 Cancelled Due to Insufficient Demand
KIWOOM Securities reported the issuance results for its 1189th and 1190th Equity-Linked Bonds (ELB).
Each series was planned at 5 billion KRW, but the 1189th series received zero subscriptions and was entirely cancelled due to failing to meet the minimum subscription amount (1 billion KRW).
The 1190th series attracted only 1 billion KRW (20% subscription rate), resulting in 100,000 bonds (face value 10,000 KRW each) issued. The underlying asset is Hyundai Motor common stock, and the automatic early redemption condition is set at 85% or more of the initial strike price.
The proceeds will be used for hedging transactions related to the ELB redemption, with no direct link to new investments or financial structure improvement.
Given the issue size (1 billion KRW) relative to KIWOOM's market cap (approx. 9.7 trillion KRW), the direct impact on shareholder value is limited.