Castelbajac Co., Ltd. announced a private placement of Series 5 Bearer-bearing interest-bearing unsecured private placement convertible bonds for the gross proceeds of KRW 10,000,000,000 on March 12, 2024. The transaction will include participation from new investors Sangsangin Savings Bank for KRW 4,500,000,000, Sangsangin Plus Savings Bank Co.,Ltd. for KRW 4,500,000,000, Sangsangin Investment & Securities Co.,Ltd. for KRW 500,000,000 and KB Securities Co., Ltd. for KRW 500,000,000. The bonds carry coupon rate of 2% and maturity rate of 5% and will mature on March 15, 2027.

The bonds are fully convertible into 2,266,032 common shares at a conversion price of KRW 4,413 per share from March 15, 2025 to February 15, 2027. The transaction has been approved by the shareholders of the company and is expected to close on March 15, 2024. The bonds are restricted to a hold period of 1 year from the date of bond issuance.