Kyobo Securities ELS Issuance of 19.9 Billion Won Becomes Effective, AA- Rated Funding for Hedging Purposes
Kyobo Securities filed a prospectus for the issuance of equity-linked securities ELS from series 12621 to 12624 totaling 19.9 billion won, which became effective on July 16 2026.
Each series has a offering amount of 4.975 billion won linked to underlying assets such as Samsung Electronics SK Hynix and Hyundai Motor with a maturity of August 7 2029 and an issue price of 9950 won per security.
These securities are unlisted and not protected by depositor protection; early redemption may result in principal loss.
The issuer Kyobo Securities has a credit rating of AA- indicating stable creditworthiness but these are unsecured unguaranteed bonds exposing investors to the issuer's credit risk.
Proceeds will be used for hedging transactions in underlying assets and derivatives.
As of end of March 2026 Kyobo Securities had total outstanding ELS DLS and ELW of approximately 3.2 trillion won.
[AI Summary]This prospectus marks the effectiveness of Kyobo Securities ELS issuance with no dilution to existing shareholders. The use of funds for routine hedging limits stock price impact. However investors should be aware of product complexity and reliance on the issuer's credit.