Kiwoom Securities Issues KRW 10B Principal-Guaranteed ELB Linked to KOSPI200, Limited Impact on Shareholder Value
Kiwoom Securities publicly offers the 1214th series equity-linked bond (ELB) worth KRW 10 billion, with an issue price of KRW 10,000 per bond and total issuance of 1 million bonds.
The underlying asset is the KOSPI200 index, and the product is classified as low-risk (Grade 5) principal-guaranteed. It offers a maximum annual return of 9.30% (27.90% over 3 years) if early redemption conditions are met, but only 100.50% of principal if conditions are not met.
Proceeds will be used for hedging the underlying asset and investing in financial instruments; there is no dilution or change in capital structure affecting shareholder value.
This bond is not protected by the depositor protection act, is not listed on an exchange (limited liquidity), and principal repayment depends on the issuer's credit rating (AA).
[AI Summary]This disclosure represents Kiwoom's routine issuance of a derivative-linked bond, solely for product sales without capital increase or equity impact, thus having negligible direct effect on existing shareholder value. Investors should note potential principal loss and liquidity constraints.