Aprogen will issue KRW 50 billion worth of convertible bonds (CB) to its affiliate AptoChrome. The entire raised funds will be used to repay existing borrowings.

According to Aprogen on the 10th, the company held a board meeting on the same day and announced its decision to issue KRW 50 billion in "34th Unregistered Bearer-Type Unsecured Private Convertible Bonds."

• *The key issuance terms are as follows:**
• Interest Rate: Coupon rate of 2%, maturity interest rate of 4%
• Maturity Date: August 21, 2031 (to be repaid in a lump sum at 111.0095% of the face value if held to maturity)
• Conversion Terms: Conversion price of KRW 2,552 per share, conversion ratio of 100%
• Conversion Request Period: August 22, 2027 – July 21, 2031

The shares to be issued upon conversion will be 19,592,476 registered common shares of Aprogen, accounting for 44.11% of the total number of shares. The conversion price may be adjusted in the event of a future decline in market price, and will be subject to a downward adjustment down to a minimum adjusted price of KRW 1,787, which is 70% of the initial conversion price.

The target subscriber of this CB issuance is the affiliate AptoChrome. The KRW 50 billion to be paid in on the 21st of this month will be settled by offsetting it against the loan receivable that AptoChrome extended to Aprogen. Through this, Aprogen will repay 10 borrowings from AptoChrome (totaling KRW 50 billion).

Meanwhile, the bondholder may request early redemption every three months starting from February 21, 2028, which is one year and six months after the issuance date.