OLIPASS Corporation announced a private placement that it will issue Series 11 and Series 12 Bearer Interest Unsecured Private Placement Convertible Bonds for a total gross proceeds of KRW 6,000,000,000 on December 18, 2023. The company issued Series 11 Bearer Interest Unsecured Private Placement Convertible Bonds for a gross proceeds of KRW 3,000,000,000 and Series 12 Bearer Interest Unsecured Private Placement Convertible Bonds for a gross proceeds of KRW 3,000,000,000. The transaction will include participation from new investor, Billion Hands Co., Ltd. The coupon rate of this bonds is 2%, Bond maturity date of Series 11 bonds is December 28, 2028 and series 12 bonds is February 28, 2029.

The share are converted into 3,726,708 convertible bonds at a price of KRW 805 per share from December 28, 2024 to November 28, 2028 for series 11 bonds. The share are converted into 37,267,080 convertible bonds at a price of KRW 805 per share from March 1, 2025 to January 28, 2029 for series 12 bonds. The series 11 bonds is expected to close on December 28, 2023 and series 12 bonds is expected to close on February 29, 2024.

The transaction has been approved by the board of directors of the company. Yield to maturity is 8%. The securities are restricted to a hold period of 1 year.