SeAH Steel Issues 115 Billion KRW in 9th Series Unsecured Public Bonds for Refinancing and Working Capital
SeAH Steel Corporation confirmed the terms of its 9th series unsecured public bonds through an amended securities report on June 19, 2026, reflecting demand forecast results.
Originally planned at 80 billion KRW, the total issuance was increased to 115 billion KRW due to strong institutional demand with a 463% subscription rate for the 2-year tranche. Series 9-1 amounts to 75 billion KRW with a 2-year maturity, and Series 9-2 totals 40 billion KRW with a 3-year maturity.
Of the proceeds, 100 billion KRW will be used to repay the maturing 7-1 series bonds and an industrial bank loan due in October 2026, while the remaining 15 billion KRW will fund raw material purchases from POSCO and other suppliers for working capital.
The refinancing does not immediately pressure the balance sheet, but investors should note the recent rise in debt ratios and declining interest coverage ratio due to lower operating profits.
SeAH Steel maintains an A+ stable credit rating, and major securities firms underwrote the bonds on a firm commitment basis, mitigating underwriting risk.
These bonds are plain vanilla unsecured notes without conversion or early redemption features, and are not covered by the Depositor Protection Act.
[AI Summary]SeAH Steel issues 115 billion KRW in corporate bonds for refinancing and working capital. Strong demand allowed an upsized issuance, but rising net debt and margin compression may challenge financial flexibility. No shareholder dilution occurs, but higher leverage and potential interest cost increases warrant attention.
KOSPI Filing Information
[Correction of Description] Securities Registration Statement (Debt Securities)