Artis Co., Ltd. (KOSE:A101140) announced a private placement for gross proceeds of KRW 48,999,996,991 on June 11, 2018. The company will issue 5,354,751 common shares at a price of KRW 2,241 per share for gross proceeds of KRW 11,999,996,991. The shares will be issued at premium.

The issuance of share will take place through third party allotment and will have a lock in period. The shares issuance will include participation from individual investor Eunkyung Sim for 892,458 shares and Haengsoo Yeo for 4,462,293 shares. The company will issue 5th series unregistered unguaranteed private convertible bonds for gross proceeds of KRW 15,000,000,000.

The 5th bonds will be issued at its par value, will include participation from Alpen Route Fleet 10 Hedge Fund 1, will mature on August 30, 2021, and will carry coupon rate of 2.5% per annum with yield to maturity of 3%. The 5th bonds are fully convertible into 5,919,494 common shares of the company at a fixed conversion price of KRW 2,534 per share. The conversion period of the bonds will be from August 30, 2019 to July 30, 2021.

The company will issue 4th series unregistered unguaranteed private convertible bonds for gross proceeds of KRW 22,000,000,000. The 4th bonds will include participation from new investors, Navis Fidelis Co., Ltd. which will be issued at par, will carry a coupon rate of 1%, yield to maturity of 3%, and would mature on August 30, 2021. The 4th bonds will be fully convertible into shares of the company at a fixed conversion price of KRW 2,534 per share from August 30, 2019 to July 30, 2021.

The subscription and payment date of bonds is June 11, 2018 and August 30, 2018. The shares deal closing is expected on August 30, 2018. The transaction was approved by the board of directors of the company.