Daishin Securities Issues 19.98 Billion KRW in 1107th Series Equity-Linked Bonds with 181-Day Maturity and 3.5% Annual Return, Funds for Hedging
Daishin Securities issues 19.98 billion KRW of its 1107th series equity-linked bonds on June 26, 2026 with a unit price of 9,990 won and 2,000,000 units. The underlying asset is Samsung Electronics common stock and the maturity is 181 days on December 24, 2026.
The bond offers an annual return of 3.51% if the final price is 300% or more of the initial price, otherwise 3.50% annually. Historical simulation indicates a 99.81% probability of earning the 3.50% return.
The proceeds will be used for hedging transactions in the underlying asset and derivatives, as well as investments in financial instruments, to ensure stable payment of redemption amounts.
The bond is not listed on the Korea Exchange. Early redemption is available at the issuer's discretion at a price no less than 95% of fair value 90% within 6 months, posing potential principal loss. The issuer credit rating is AA-.
The issuance may be canceled if total subscription is less than 1 billion KRW, and subscriptions are limited to IBK trust customers.
[AI Summary]Daishin Securities' 1107th ELB is a principal-protected short-term product but has liquidity constraints and early redemption risk. The issuance size is negligible relative to market cap, and the use of funds for hedging limits direct growth impact. The AA- credit rating indicates low issuer risk.