Kyobo Securities Issues KRW 9.95 Billion Principal-Protected Equity-Linked Derivative Bond Series 12588
Kyobo Securities is publicly offering the 12588th series Equity-Linked Derivative Bond ELB Low Risk grade worth KRW 9.95 billion with subscription on July 13, 2026. The underlying asset is the KOSPI200 index with a maturity of 3 years until July 18, 2029.
This note has a principal-protected structure: if the auto-call conditions are not met, at maturity it pays 120.40% equivalent to 6.80% per annum if the underlying is at or above 75% of the initial strike, or 100% of principal otherwise. The issuer Kyobo Securities holds an AA- credit rating and the proceeds will be used for hedging transactions.
Kyobo Securities reported a net profit of KRW 139.3 billion for 2025 with total equity of KRW 2.12 trillion. A cash dividend of KRW 550 per share was paid to minority shareholders for fiscal year 2025.
[AI Summary]This ELB issuance by Kyobo Securities is a routine debt offering under its existing shelf registration, causing zero dilution for shareholders. The low-risk grade and principal-protected structure provide investor safeguards, and the issuer's AA- credit rating underscores its creditworthiness. The small issuance size has negligible financial impact, with proceeds directed to standard hedging operations.