Bluemtech announced on the 8th that it has decided to issue convertible bonds (CB) worth 36 billion won to raise operating funds and debt repayment funds. The bonds to be issued are the company's second series of registered, unsecured private convertible bonds.

[Use of Funds... 31 Billion Won for Operating Funds, 5 Billion Won for Debt Repayment] Of the 36 billion won to be raised, 31 billion won will be used for operating funds and 5 billion won for debt repayment. Of the operating funds, 26 billion won is planned to be allocated to strategic investment, to be executed in 2027. The remaining 5 billion won will be used for product purchases and the advancement of facilities and IT systems, to be executed in stages: 2 billion won in 2026, 2 billion won in 2027, and 1 billion won in 2028 and thereafter.

[Issuance Terms... Interest Rate 0.0%, Maturity November 6, 2033] The coupon rate and maturity interest rate of the bonds are both 0.0%. The maturity date is November 6, 2033, and convertible bonds held until maturity will be redeemed at 100% of the electronically registered amount in a lump sum. The subscription date and payment date are both November 6, 2026.

[Conversion Terms... Conversion Price 3,235 Won, 32.88% of Total Shares Outstanding] The conversion price is 3,235 won per share, with a conversion ratio of 100%. The shares to be issued upon conversion are 11,128,284 registered common shares of Bluemtech, accounting for 32.88% of the total shares outstanding. The conversion request period runs from November 7, 2027 to October 6, 2033. The conversion price may be adjusted in the event of a decline in the stock price. The conversion price can be adjusted on the date seven months after the issuance date and every seven months thereafter, with the lowest adjusted price due to a market price decline set at 2,265 won.

[Put Option Granted... Subscriber is San-yong Investment] Bondholders are granted an early redemption claim right (put option). From May 6, 2029, which is 30 months after the bond issuance date, and every three months thereafter, holders may request early redemption of all or part of their bonds. The subscriber is San-yong Investment Co., Ltd. However, according to the disclosure, San-yong Investment plans to transfer its position under the convertible bond subscription agreement to an institutional-only private collective investment vehicle to be established in the future or its investment purpose company, and the said vehicle or company will subscribe to the convertible bonds.

[Contract for Change of Largest Shareholder Disclosed... Total Dilutable Shares 52.54%] Meanwhile, Bluemtech stated in this disclosure that it entered into a share purchase and sale agreement involving a change of largest shareholder on October 8, 2026. The total number of convertible and exercisable shares, combining the existing unconverted bonds with warrants and the new convertible bonds, is 17,783,943 shares, accounting for 52.54% of the total issued shares.