KOREA PHARMA Co., Ltd.. announced a private placement of series 4 non-coupon-bearing non-guaranteed private placement convertible bonds for a gross proceeds of KRW 23,000,000,000 on November 24, 2023. The transaction will include participation from new investors Samsung Securities Co., Ltd for KRW 7,000,000,000, KB Securities Co., Ltd. for KRW 6,800,000,000, NH Investment & Securities Co., Ltd. for KRW 1,700,000,000, Cape-the-J-Paros Mezzanine New Technology Fund for KRW 1,000,000,000, Mirae Asset Securities Co., Ltd. for KRW 2,000,000,000, EBest Investment & Securities Co., Ltd. for KRW 2,000,000,000, Kiwoom Focus No.

1 New Technology Business Fund for KRW 1,500,000,000 and IBC-AH New Technology Business Fund No. 5 for KRW 1,000,000,000. The bonds carry coupon rate of 0% and maturity rate of 0%.

The bonds will mature on November 28, 2028. The bonds will be 100% converted into 1,052,053 common shares at a fixed conversion price of KRW 21,862 per share for an equity stake of 8.8%. The conversion period is from November 28, 2024 to October 28, 2028.

The payment date of the transaction is November 28, 2023. The transaction has been approved by the board of directors of the company.