Daeho Special Steel Co., Ltd. announced that it expects to receive KRW 7 billion in funding from Kiwoom Securities Co., Ltd., and other investors
August 07, 2022
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Daeho Special Steel Co., Ltd. announced private placement of series 6 non-guaranteed private convertible bonds with bearer type interest part for gross proceeds of KRW 7,000,000,000 on August 8, 2022. The transaction will include participation from new investors Synergy Turnaround No.21 New Technology Business Investment Association for KRW 4,000,000,000, IBK Finance Group Synergy IB Business Reorganization New Technology Investment Association for KRW 1,000,000,000, and Kiwoom Securities Co., Ltd. for KRW 2,000,000,000. The bonds bear no coupon and maturity rate of 3%. The bonds will mature on August 11, 2025. The bonds are convertible into 9,589,041 shares to hold 11.28% stake at a fixed conversion price of KRW 730 per share from August 11, 2023 to July 11, 2025. The expected payment date is August 11, 2022. The transaction has been approved by the board of directors. The securities carry a hold period of one year.
The series 6 bonds will now be convertible into 1,192,911 common shares at an issue conversion price of KRW 5,868 per share.
DHSteel, formerly Daeho P&C Co Ltd, is a Korea-based company mainly engaged in the manufacturing and distribution of steel wires. The Company operates its business through two segments. The Wire Rod segment manufactures and sells cold heading quality (CHQ) wires, which are material for steel parts such as bolts, nuts, bearing balls and screws, used for automobile parts, general industrial machinery parts, and electronic parts. The Cold Drawn (CD) Bar segment produces and sells bars used as shafts for automobile parts and general industrial machinery parts. In addition, the Company manufactures and sells stainless wire, which is a steel material such as wire, spring and rope. The Company distributes its products within domestic market and to overseas markets.
DHSTEEL 
