Kyobo Securities’ Three Equity-Linked Bonds Totaling 29.79 Billion KRW Become Effective, Credit Rating AA- Stable
Kyobo Securities has achieved effectiveness for three equity-linked bonds series 12618 to 12620 totaling 29.79 billion KRW. The bonds are linked to KOSPI200 index, Samsung Electronics common stock, and SK Hynix common stock respectively, offering principal protection at maturity or upon early redemption.
This issuance is part of routine funding operations, and the proceeds will be used for hedging and financial product investments. Kyobo maintains a stable AA- credit rating with a healthy derivatives balance of approximately 3.2 trillion KRW.
These bonds are not covered by depositor protection and are unlisted, limiting liquidity. Investors should be aware of potential principal loss upon early redemption and underlying asset price risk.
[AI Summary]This ELB issuance represents non-dilutive debt funding for Kyobo Securities, with limited direct impact on existing shareholders. It is considered routine structured product issuance, reaffirming the issuer’s stable AA- credit profile.