Nexton & Roll Korea announced on the 20th that its board of directors decided to issue a total of 20 billion won in privately placed convertible bonds (CB). The issuance is divided into two tranches: the 9th series worth 11 billion won and the 10th series worth 9 billion won, with all proceeds to be used for acquiring securities of other companies.

■ 9th Series CB: 11 Billion Won, Conversion Price of 2,500 Won Per Share

The 9th series CB has a total face value of 11 billion won, with a coupon rate of 1.0% and a maturity yield of 4.0%. The maturity date is August 28, 2029, and the payment date is August 28, 2026. Bonds held until maturity will be redeemed in a lump sum at 109.5118% of the electronically registered amount.

The conversion price is set at 2,500 won per share, and upon conversion, 4.4 million registered common shares of Nexton & Roll Korea (28.73% of total shares outstanding) will be issued. The conversion request period runs from August 28, 2027 to July 28, 2029.

As collateral, a joint first-priority mortgage will be placed on 2.55 million common shares of Mirae Industrial owned by the company, with the maximum claim amount set at 130% of each subscriber's bond subscription amount.

■ 10th Series CB: 9 Billion Won, Collateral on Yongin Real Estate

The 10th series CB is worth 9 billion won, with a coupon rate of 2.0% and a maturity yield of 6.0%. Its maturity and payment dates are the same as the 9th series: August 28, 2029 and August 28, 2026, respectively. Bonds held until maturity without conversion will be redeemed in a lump sum at 113.0412% of the electronically registered amount.

The conversion price, like the 9th series, is 2,500 won per share, allowing the issuance of 3.6 million common shares (23.50% of total shares outstanding) upon conversion. The conversion request period also runs from August 28, 2027 to July 28, 2029.

The 10th series bonds will be secured by a joint first-priority beneficiary right under a real estate trust on land and buildings owned by the company in Gomae-dong, Yongin, Gyeonggi Province. The maximum claim amount stated in the disclosure is 11.7 billion won, or 130% of the face value.

Both convertible bonds will be issued through private placement and are not subject to securities registration statement filing requirements.