KGA Finalizes 900 Million KRW Third-Party Allotment at 1,215 KRW per Share with 740,740 Shares, Dilution at 5.31% Remains Unchanged, Existing Shareholders Face Value Dilution
KGA finalized the parameters of its 900 million KRW third-party allotment through a correction filing on July 15, 2026, setting the issuance price at 1,215 KRW per share and the number of shares at 740,740. Compared to the previous plan, the per-share price decreased from 1,388 KRW and the share count increased from 648,414, while the total offering amount remained unchanged at 900 million KRW.
The new shares represent approximately 5.31% of the outstanding shares of 13,958,316, a slight increase in dilution from earlier versions. The issuance price is a 10% discount to the weighted average price of 1,349.90 KRW over the three trading days prior to subscription, and about 9.2% below the current market price of 1,338 KRW.
All proceeds will be used for working capital. The sole counterparty remains individual Lee Seung-gyun, with no special relationship with the company. No lock-up period has been set for the new shares, which could lead to additional selling pressure after listing.
KGA reported a net loss of 1.6 billion KRW in the first quarter of 2026 on sales of 900 million KRW, continuing its loss-making trend. The debt ratio stands at 56.31%, indicating high financial leverage. The company has not paid dividends in the last five years and holds 22,721 treasury shares with no cancellation plan.
[AI Summary]This correction finalizes a 5.31% dilution for existing shareholders due to a lower issuance price and increased share count. While the total capital raised is small relative to market cap, the use of funds for working capital, absence of lock-up, and ongoing losses with high leverage create negative near-term pressure on the stock.
KOSDAQ Filing Information
[Correction of Description] Small Amount Public Offering Disclosure Document (Equity Securities)