Hanwha Investment & Securities Issuance of 1.1 Billion KRW ELB, Equity-Linked Derivative Bond Series 1135 for Funding and Hedging
Hanwha Investment & Securities issued the Hanwha Smart ELB Series 1135 derivative-linked bond worth 1.1 billion KRW, which is only 1.1% of the initially filed offering amount of 100 billion KRW, representing a small-scale funding.
All 10,000 bonds with a face value of 11,000 KRW were allocated through a public offering, and the proceeds will be used for hedging the redemption amounts and managing underlying assets.
The securities are equity-linked derivative bonds with monthly coupon payments and autocall features based on underlying asset performance, including principal protection at maturity under certain conditions.
[AI Summary]This small ELB issuance by Hanwha Investment & Securities has negligible impact on shareholder value, and the funding purpose is limited to hedging operations with no growth catalyst. While the bond carries investment risk from underlying asset volatility, the issuer's credit risk remains low.