Hanwha Investment & Securities Prospectus for 69.6 Billion Won Equity-Linked Bonds Becomes Effective
Hanwha Investment & Securities has obtained effectiveness for a shelf registration statement as of July 1, 2026, covering three series of Equity-Linked Bonds ELBs totaling 69.65 billion won. The series are Hanwha Smart ELB No. 1160 linked to Samsung Electronics and Hyundai Motor common stocks, and No. 1161 and No. 1162 linked solely to Samsung Electronics common stock.
All bonds are unlisted and not protected by the depositor protection act. No. 1160 is a knock-out step-down structure offering up to 11.60% annual return, while No. 1161 and No. 1162 are monthly coupon payment structures targeting 6.81% and 8.52% per annum respectively.
The proceeds will be used for hedging transactions to ensure stable repayment and for investment in financial products. The bonds are unsecured and unguaranteed, ranking equally with other unsecured debt of the issuer which holds an AA- credit rating.
[AI Summary]This ELB issuance is a routine debt capital raising activity with no dilutive impact on existing shareholders. The use of proceeds for hedging and investment purposes does not present a transformative opportunity. The issuer's solid credit rating AA- and absence of governance issues support a neutral outlook.