Hanwha Investment & Securities Issues 20 Billion KRW DLB Linked to 3-Month KTB Rate Principal Protected with Upside
Hanwha Investment & Securities issues 20 billion KRW of Hanwha Smart DLB Series 553 derivative-linked bonds. Each bond has a face value of 10,000 KRW with 2,000,000 units issued. Subscription is for one day only on June 12, 2026.
The bond is linked to the 3-month Korean Treasury bond rate. At maturity, if the underlying rate is 8% or below, it pays 3.15% annually; if above 8%, it pays 3.14% annually. Principal is fully repaid at maturity but subject to issuer credit risk and early redemption losses.
Proceeds will be used for hedging and financial investments. The issuer has a credit rating of AA- from NICE. The product is not protected by the depositor protection law and carries market and liquidity risks.
[AI Summary]This DLB issuance does not affect share capital or create dilution. Funds are deployed for defensive hedging rather than growth initiatives. While the issuer's creditworthiness is strong, the unlisted nature and early redemption discount reduce investor upside.
KOSPI Filing Information
Filing: Additional Documents for Shelf Registration (Other Derivative-Linked Bonds)