ORION Holdings subsidiary to acquire 42.5 billion won CB in Ligochem Biosciences for strategic investment, no shareholder dilution
ORION Holdings subsidiary PAN ORION Corp. Limited has decided to acquire 42.5 billion won in unsecured private convertible bonds issued by Ligochem Biosciences for cash.
The purpose is to participate in the investment following the selection of Ligochem as a beneficiary of the Advanced Strategic Industry Fund, a strategic move to fund a biotech firm with government-backed growth potential.
The CB carries zero coupon and zero yield, with a conversion price of 149,300 won which is at a premium to the current stock price, and conversion rights begin in July 2028.
The investment represents only 0.82% of ORION Holdings equity of 5.16 trillion won, posing minimal financial burden and causing no dilution for existing shareholders as no new shares are issued.
No shareholder return-related events such as treasury stock acquisition, cancellation, or dividend payouts are included in this disclosure.
The subsidiary PAN ORION Corp. Limited has total assets of approximately 2.12 trillion won, and the parent's consolidated total assets are about 6.18 trillion won, making this acquisition around 2% of the subsidiary's size.
[AI Summary]ORION Holdings via its subsidiary investing 42.5 billion won in Ligochem Biosciences CB is a strategic move into a government-supported advanced industry with low short-term financial burden and no dilution, positive for shareholder value; however biotech investment requires monitoring long-term profitability uncertainties.
KOSPI Filing Information
Decision To Acquire Equity-Linked Bonds (Voluntary Disclosure) (Major Management Matters Of Subsidiary)