Hanwha Investment & Securities Finalizes 9.95 Billion KRW KOSPI200-Linked ELB Issue Three-Year Maturity with Auto-Call and Principal Protection
Hanwha Investment & Securities has issued the Hanwha Smart ELB No. 1154 equity-linked bond with an effective registration on July 1, 2026, raising 9.95 billion KRW.
The underlying asset is the KOSPI200 index, with a three-year maturity until July 18, 2029, and an auto-call trigger set at 70% of the initial strike level.
The bond offers an annual coupon of 6.30%, paying up to 118.90% at maturity if the index is at least 70% of strike, or 100% principal protection otherwise.
Issuer credit rating is AA-; the bond is unsecured and proceeds will be used for hedging and financial product investments.
As an unlisted security, early redemption is available at a minimum of 95% of fair value, but may incur principal loss.
[AI Summary]This ELB issuance by Hanwha Investment & Securities is a routine funding activity within normal operations, neutral for shareholder value. The AA- credit rating and principal protection feature mitigate credit risk, but the unlisted nature introduces liquidity risk.