Daesung Fine Tech Co., Ltd. (KOSDAQ:A104040) announced a private placement of first unregistered/unsecured private convertible bonds for gross proceeds of KRW 3,500,000,000 on December 8, 2015. The bonds will be issued at par. The bonds will have a fixed coupon rate of 1% per annum, yield to maturity of 3%, and will mature on December 9, 2018.

The bonds will have lump sum redemption on maturity. The bonds will be 100% convertible into common shares of the company at a fixed conversion price of KRW 5,786 per share from December 9, 2016 to November 9, 2018. The subscription date of the transaction is December 8, 2015 and payment date is December 9, 2015.

The transaction has been approved at the board of directors of the company. The transaction will include participation from IBK Group IP Value-up Fund, a fund managed by IBK Capital Corporation for KRW 1,500,000,000, Shinhan Capital Co., Ltd. for KRW 1,000,000,000, IBKS Shinhan Creative Economic New Technology Business Fund for KRW 500,000,000, and Kclavis Investment Co., Ltd. for KRW 500,000,000.