DAISHIN SECURITIES ELB 1113 Issuance Performance Report Low Subscription Rate of 28.64% Proceeds Used for Hedging
DAISHIN SECURITIES issued its 1113th Equity-Linked Bond ELB Low Risk series, but total subscriptions amounted to only 57.287 billion KRW, 28.64% of the 20 billion KRW offering, indicating weak demand.
A total of 572,872 bonds were issued at a face value of 10,000 KRW, non-listed, with a maturity of 548 days until December 30, 2027.
The proceeds, net of issuance costs of 286,430 KRW, will be fully used for hedging transactions amounting to 57.284 billion KRW.
The underlying asset is common stock of Korea Electric Power Corporation KEPCO, with a redemption yield of 4.001% per annum if the final price is at least 200% of the initial, otherwise 4.000% per annum.
[AI Summary]This report confirms the issuance performance with no equity dilution, but the low subscription rate reflects limited market demand. The use of proceeds is restricted to hedging, indicating no growth catalyst, while the issuer's AA- rating supports credit stability.