China Great STAR International Limited announced that it expects to receive KRW 50 billion in funding from SBI Pan-Asia Private Equity Fund and another investor.

China Great STAR International Limited (KOSDAQ:A900040) announced a private placement of registered unsecured convertible bond for gross proceeds of KRW 50,000,000,000 on January 15, 2014. The bond will bear interest at 6% per annum and will mature on January 17, 2019. The bonds will be convertible into common share of the company at a conversion price of KRW 1,733 per share.

The conversion period will start from January 18, 2015 and will end on December 17, 2018. The transaction will include participation from SBI Pan-Asia Private Equity Fund, which will invest KRW 35,300,000,000 in the transaction and SBI Pan-Asia Fund, which will invest KRW 14,700,000,000 in the transaction. The subscription date and payment date of the bonds will be on January 17, 2014.

On the same date, the board of directors of the company approved the transaction.