Solux Decides to Acquire 3B Won of Its Own Convertible Bonds Before Maturity... Mitigates Dilution Risk but Increases Debt Burden
Solux announced the over-the-counter acquisition of 3 billion won worth of its 7th series unsecured private convertible bonds, issued in November 2025 (total face value 6 billion won), before maturity.
The acquisition price is 3.134 billion won, approximately 4.47% above face value, calculated based on the coupon rate (2% p.a.) and call option yield.
The acquisition will be fully funded by borrowings, increasing the company's leverage.
After the acquisition, the remaining convertible bonds amount to 3 billion won; the company will decide on disposal (e.g., cancellation or resale) through a future board resolution.
The conversion price of the bonds is 3,746 won per share, and if the acquired bonds were converted, they would issue 800,854 shares (1.57% of total outstanding shares).
This acquisition reduces potential equity dilution, benefiting existing shareholders, but the use of debt financing introduces new repayment risk.
KOSDAQ Filing Information
Filing: Report On Major Events (Decision On Acquisition Before Maturity Of Self-Convertible Bonds)