Hwaseung Enterprise Co., Ltd. (KOSE:A241590) announced a private placement of series 1 unregistered coupon unguaranteed subordinated private convertible bond for gross proceeds of KRW 150,000,000,000 on February 24, 2020. The transaction will include participation from KB Mezzanine Specialized Investment Type Private Equity Investment Trust Third, NH Nugros PEF and Shinhan BNPP MAIN Specialized Investment Type Private Equity Investment Trust No. 3 for KRW 50,000,000,000 each. The bonds will be issued at 0% nominal interest rate, 2% yield to maturity and will mature on March 17, 2050. The bonds can be 100% converted into 8,550,906 common shares for 12.38% stake of the company at a fixed conversion price of KRW 17,542 per share. The conversion period is from March 17, 2021 to February 17, 2050. The transaction has been approved by the board of directors of the company. The subscription date is February 26, 2020 and the payment date is March 17, 2020. The bonds can be prepaid starting March 17, 2025 till December 17, 2049. The bonds will be repaid 181.1361% of the electronic registration amount on March 17, 2050 being maturity date.