Yulho Co., LTD. (KOSDAQ:A072770) announced a private placement of series 3 unregistered coupon unguaranteed private convertible bonds for a gross proceeds of KRW 10,000,000,000 and series 4 non-guaranteed private convertible bonds for a gross proceeds of KRW 10,000,000,000; and series 2 unregistered coupon unguaranteed private convertible bonds for a gross proceeds of KRW 20,000,000,000 for an aggregate gross proceeds of KRW 40,000,000,000 on April 9, 2020. The transaction will include participation from Hannam World Co., Ltd for series 4 bonds, Robe Corporation for series 2 bonds and Krypton Ventures Limited for series 3 bonds. The bonds carry coupon rate of 3% and have yield to maturity of 5%.

The bonds will be redeemable and will mature on May 12, 2023. The series 3 and series 4 bonds will be 100% converted into 5,847,953 common shares at a fixed conversion price of KRW 1,710 per share. The series 2 bonds will be 100% convertible into 11,695,906 common shares at a fixed conversion price of KRW 1,710 per share.

The conversion period is from May 12, 2021 to April 12, 2023. The payment date of the transaction is May 12, 2020. The securities issued in the transaction are subject to a lock up period of one year.

The transaction has been approved by the board of directors of the company.