Samkang M&T Co.,Ltd announced a private placement of series 8 Unregistered coupon non-guaranteed private convertible bonds for gross proceeds of KRW 50,000,000,000, series 9 Unregistered coupon non-guaranteed private convertible bonds for gross proceeds of KRW 116,856,705,280 and 14,629,747 shares at a price of KRW 20,000 per share for gross proceeds of KRW 292,594,940,000 for aggregate gross proceeds of KRW 474,413,773,402 on November 16, 2021. The transaction included participation from ATP Investment for series 8 bonds and new investor SK ecoplant Co.,Ltd. for shares and series 9 bonds. The bonds are zero coupon with no yield to maturity and will mature on March 31, 2027.

The series 8 bonds are 100% convertible into 2,297,794 common shares for 6.3% stake of the company and the series 9 bonds are 100% convertible into 5,370,253 common shares for 14.7% stake of the company at a conversion price of KRW 21,760 per share from April 1, 2023 to February 28, 2027. The transaction has been approved by the board of directors of the company. The bonds are issued at par value.

The subscription date for bonds is November 16, 2021 and the payment date for both bonds and shares is March 31, 2022. The securities carry a hold period of one year from the date of issue. Post completion of acquisition and offering SK ecoplant Co.,Ltd. will hold 31.83% stake in the company.