Plasmapp Co., Ltd. announced a private placement of 471,698 common shares at an issue price of KRW 6360 for a gross proceeds of KRW 2,999,999,280 and series 2 non-guaranteed private convertible bonds for gross proceeds of KRW 12,000,000,000 on January 25, 2023. The transaction will include participation from new investors, Kiwoom Securities Co., Ltd. of KRW 7,000,000,000, Kiwoom New Hero No. 5 Digital Innovation Fund of KRW 3,000,000,000, Shinhan Capital Co., Ltd. of KRW 2,000,000,000 and DREAMTECH Co., Ltd. for 471,698 common shares.

The bond carry zero coupon rate and have yield to maturity of 3%. The bonds will mature on January 30, 2028. The bonds will be 100% convertible into 1,863,354 common shares of the company, representing 10.52% of the total number of shares at a fixed conversion price of KRW 6,440 per share.

The conversion period is from January 30, 2024 to December 30, 2027. The transaction has a subscription date of January 27, 2023 and payment date of series 2 non-guaranteed private convertible bonds is January 30, 2023 and for common shares is February 2, 2023. The common shares have a lock up period of one year.

The transaction has been approved by the board of directors of the company.