Kyobo Securities Reports Low Subscription for Two ELB Issues – Minimal Capital Raised
Kyobo Securities issued two equity-linked derivative bonds series 50249 and 50250, each targeting 10 billion KRW, but actual subscriptions were only 5.31% and 5.39%, raising a total of 1.07 billion KRW.
The issuance was unlisted and electronic, and the proceeds will be used for hedging underlying assets and derivatives trading.
The raised amount is less than 0.1% of the market cap of 1.1 trillion KRW, resulting in negligible impact on shareholder value or financial structure.
There were no announcements regarding share buybacks or dividends.
[AI Summary]This ELB issuance saw extremely low subscription rates, limiting capital raised to about 5% of planned amounts, with no material effect on Kyobo's capital structure or shareholder value. The use of funds for hedging is considered routine operational activity.