[Breaking] NH Investment & Securities will conduct a third-party allocation paid-in capital increase worth approximately 400 billion won targeting its largest shareholder, Nonghyup Financial Group. The company plans to use the raised funds as resources for retail credit extensions and investment banking (IB) investments to improve its financial structure and strengthen business competitiveness.

NH Investment & Securities announced in a regulatory filing on the 2nd that its board of directors held a meeting and passed a resolution for a paid-in capital increase to newly issue 12,861,736 shares of common stock. The new share issue price is 31,100 won per share, bringing the total amount to be raised to 399,989,600,000 won. The capital increase method is a third-party allocation.

Nonghyup Financial Group, the largest shareholder, will solely participate in this capital increase. The number of allocated shares is 12,861,736, and all new shares will be subject to a mandatory holding period by the Korea Securities Depository for one year from the listing date.

The company plans to use 200 billion won of the raised funds for retail credit extensions and the remaining 200 billion won as resources for corporate loans and acquisition finance investments. The funds are scheduled to be executed in 2026.

The new share issue price was determined without any discount or premium based on the reference stock price of 31,090 won, calculated based on the day prior to the board resolution date, and was finalized at 31,100 won to match the tick size. The payment date is June 29, and the scheduled listing date for the new shares is July 14. The dividend commencement date for the new shares is January 1, 2026.

Regarding the purpose of the third-party allocation, the company explained that it is to "improve the financial structure and enhance business competitiveness." Furthermore, regarding the reason for selecting Nonghyup Financial Group as the allocatee, the company stated, "It is possible to effectively achieve the purpose of the paid-in capital increase, and because it possesses sufficient financial resources, stable payment is possible."