Hanwha Investment & Securities Decides to Issue 9.95 Billion Won Equity-Linked Bond Linked to KOSPI200
Hanwha Investment & Securities has decided to issue the Hanwha Smart ELB No. 1154 equity-linked bond, with KOSPI200 as the underlying asset, under its existing shelf registration program, with a total offering amount of 9.95 billion won.
The bond has a 3-year maturity with an automatic early redemption structure and targets an annual return of 6.30%.
The issuer's credit rating is AA-, indicating stability, and the proceeds will be used for hedging and other financial investments.
This product is not protected by the Depositor Protection Act, and early redemption may result in principal loss.
[AI Summary]This new ELB issuance is part of Hanwha's shelf registration program, aimed at expanding fee income through equity-linked products. The issuance size is negligible relative to market cap, and the issuer's solid credit rating limits direct impact on shareholder value. However, increased derivative-linked issuance may expose the company to market volatility risks.